The controversial Women In Support of the Million Man March Inc. nonprofit in Newark, N.J., has filed for bankruptcy after federal authorities accused its leader of misspending a $345,325 federal grant, the Wall Street Journal reported on Saturday. The organization filed for chapter 11 protection under the name of its affiliate, Ace Alliance Inc. Executive Director Fredrica Bey and others proposed to help at-risk youth stay out of trouble after school using the 2005 grant. Last year, attorneys for the U.S. Department of Justice sued Bey and the nonprofit, accusing them of fraud, of improperly spending the money and then of attempting to “cover up their actions” during a subsequent investigation, according to court papers. Nonprofit officials have denied the allegations in court papers. The nonprofit’s bankruptcy is expected to halt the dispute before its trial can begin.
