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New York DisasterInterfaith Servs. Inc. v. Council of People Org., Inc

Employee's Fraud During Employment Could Form Basis of Employers Vicarious Liability

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DECISION & ORDER

*1  Plaintiff New York Disaster Interfaith Services Inc. (NYDIS) brings this action to recover damages arising from the theft of more than $250,000 in disaster relief funds by defendant Regina Lewis a/k/a Regina Zlotina (Lewis), a former employee of defendant Council of Peoples Organization, Inc. (COPO). Defendant COPO moves to dismiss the complaint, pursuant to CPLR 3211 (a) (7), for failure to state a cause of action. FACTUAL ALLEGATIONS AND CLAIMSIn the aftermath of the 9/11 tragedy, plaintiff NYDIS, a not-for-profit corporation, established the Unmet Needs Roundtable (the Roundtable) to connect local and national charitable organizations and donors such as the American Red Cross with under-served, disaster-impacted people represented by local, community-based charitable organizations (First Amended Complaint [FAC],8). Through the Roundtable, NYDIS receives applications from participating disaster case management providers (DCM providers),

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