Save the Michaels founder fighting back against non profit

Bufaflo, NY (WBEN) The founder of Save the Michaels of the World is fighting back against allegations he stole more than $1 million from the nonprofit organization he founded.

The lawsuit was filed last week in state Supreme Court. Its allegations include breach of fiduciary duty, unjust enrichment and waste of corporate assets. But Israel's attorney Michael McGorry says it was Israel who was short changed. "He had loaned thousands of dollars to this organization in order that they could make payroll, in order that they could do the things that they needed to do, never charged interest on any of the loans, and after they were acknowledged in writing that he was owed thousands of dollars in loans, but refused to pay him back the money that he was owed. We sued, Save the Michaels, and now, after we've sued them for the monies that our client loaned them for the money for the monies that my client has incurred in credit card debts that he was forced to guarantee, in order that Save the Michaels could get money, could get credit cards, he was forced to guarantee those credit cards, he's now been his credit is being ruined because he's been forced to pay debts solely related to credit card bills from Save the Michaels," says McGorry.

McGorry says his position is in retribution for Israel bringing this lawsuit. "They're manufacturing stuff. He denies ever stealing money, stealing anything from this company. He denies breaking into the premises three times after he left, like they claim. He denies ever removing iPads, phones, anything. He denies changing passwords. We feel this is all just retribution for his bringing his claim against Save the Michaels for monies that he loaned them," contends McGorry.

McGorry says his client is in shock. "He's he's got documentation to defend this. We will defend this, and we think we will be successful in court when all of the truth comes out. What's so odd about this is when he contacted me originally, I personally reached out to Jessica Goff, who is the CFO of Save the Michaels, and said, "Let's sit down. Let's go through the books. Let's get an independent auditor in to figure out exactly what my clients are owed. Exactly what is in in in these credit card bills? What can be done to get to resolve all these things? She ignored my two correspondences. I then received an email from an attorney, David Brock, who indicated to me that he was representing them and that they were not going to have any further contact with us, and then we filed suit," says McGorry.

The lawsuit is set to be heard next year.

Save the Michaels did not return our requests for comment.