NEW ORLEANS (WVUE) – An Orleans Parish civil court judge sided with the City Council, granting a restraining order that freezes any spending from the Wisner Trust.
The council asked Judge Kern Reese to pause the city’s use of millions of dollars from the Wisner Trust which Mayor Cantrell has used to fund various non-profits. The Wisner Trust sends millions of dollars to the city and private entities each year.
All sides head to court next week to determine the current status of the trust which some council members say isn’t being fully collected, nor properly accounted for.
Mayor Cantrell released a statement on the freezing of the Wisner Trust saying:
“The New Orleans City Council fails to fully understand the ramifications of the actions. This temporary restraining order will cause true detriment to organizations in need of resources.”
The move comes as a non-profit, started by Mayor Cantrell, froze its own assets, after receiving a subpoena for financial records from the city’s inspector general.
The non-profit called, Forward Together New Orleans, receives money from the Wisner Fund.
Shaun Randolph, the former executive director, tells FOX 8, he went to the inspector general with concerns about the board After he alleged there were conflicts of interest.
An attorney representing the non-profit’s board members vehemently denies the allegations and claims Randolph was actually fired last month.
Attorney Dana Henry says Forward Together New Orleans received $1.1 million in the past four months with roughly 900,000 dollars coming from the Wisner Trust Fund.
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