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You are here: Home / News / Troubled CT Nonprofit Linked to Federal Probe Shuts Down Amid Financial Woes

Troubled CT Nonprofit Linked to Federal Probe Shuts Down Amid Financial Woes

Dated: October 12, 2025

The Blue Hills Civic Association (BHCA), a Hartford-based nonprofit entangled in a federal investigation involving State Senator Doug McCrory, has ceased operations due to severe financial challenges. The organization has informed the Connecticut Freedom of Information Commission that it is "for all intents and purposes" shut down, citing an inability to dedicate resources to ongoing proceedings.

Key Takeaways

  • Blue Hills Civic Association has ceased operations, citing financial difficulties.
  • The nonprofit was named in a federal probe concerning State Senator Doug McCrory.
  • BHCA is facing an extensive financial audit and suspended state funding.
  • The organization previously denied requests for records, claiming it was not subject to the Freedom of Information Act.

Financial Crisis and Operational Shutdown

Lauren Gambardella, the former attorney for BHCA, stated in a letter to the Freedom of Information Commission that the organization is "currently facing severe operational challenges" and is "unable to dedicate the necessary resources or personnel to effectively participate" in proceedings. This shutdown comes amidst an extensive financial audit. The organization’s Facebook page has not been updated since April, and its website displays a "under maintenance" message.

Federal Probe and Funding Concerns

The Blue Hills Civic Association has been named in federal subpoenas investigating Senator McCrory’s connections with Connecticut businesswoman Sonserae Cicero-Hamlin. Records indicate that Cicero-Hamlin’s nonprofit and associated companies frequently received funding, either directly from state agencies or as subgrantees of organizations like BHCA. This funding structure has raised questions, as millions in state funds sent to BHCA were reportedly rerouted to other nonprofits, potentially bypassing standard state auditing and oversight requirements.

Legal Battles and Suspended Funding

CT Insider had previously requested documents from BHCA regarding subgrantee selection and communications with Senator McCrory. The nonprofit denied this request, asserting it was not subject to the state’s Freedom of Information Act. A complaint was subsequently filed with the Freedom of Information Commission, arguing that BHCA, due to its substantial government funding and function, should be considered "functionally equivalent" to a public agency. Most BHCA staff were terminated in April after the state suspended millions in public funding, following a delay in reporting an alleged cyber theft of $300,000 in grant money. The state has hired a financial consulting firm to conduct an audit of BHCA’s finances, which has been delayed.

Sources

  • CT nonprofit tied to McCrory probe shut down, lawyer says, CT Insider.
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