It’s not just the theft — it’s the betrayal.
The disgraced ex-chairman of the Manhattan Chamber of Commerce was sentenced today to serve as little as three and a half years prison for turning against friends and colleagues and stealing more than $2.5 million in a single year from a noted Manhattan psychotherapy institute.
Jeffrey Bernstein — who secretly drained the operating account of the Albert Ellis Institute while serving as its director of administration in 2010 — went to prison without repaying any of what he took, and with one of his former director’s tearful reproaches ringing in his ears.
“Jeffrey Bernstein’s greed and theft has devastated us,” Kristene Doyle, another institute director, sobbed to Manhattan Supreme Court Justice Gregory Carro at the emotional sentencing.
It was not just the monetary loss — which continues to threaten the 1959 institute’s existence, that is so troubling, Doyle said, turning to face Bernstein in the crowded courtroom. It’s the betrayal of their trust, she said.
“Jeff, you looked us in the eyes every day,” she said. “You brought us into your family and we brought you into ours…you celebrated with us. You sat at a Board of Directors’ dinner and toasted to the future of the institute,” she said.
“All the while you were slowly, strategically, calculatingly destroying us,” she said.
“You are the ultimate betrayal.”
The institute was founded by Ellis shortly after he published his groundbreaking book, “Sex Without Guilt.” It helps mental health professionals around the world by supporting research and continuing education, along with providing self-help workshops and affordable psychotherapy for the public.
A parole board could keep Bernstein in prison for a maximum of 10 years; the judge told Bernstein’s co-worker victims, several of whom attended court, that they would do well to petition the board to keep Bernstein caged as long as possible.
“Those of you who are victims who will not receive one penny, or receive a negligible amount, I suggest that you strongly communicate that fact to the parole board,” the judge said.
Bernstein used the stolen money to pay business and personal expenses, including paying back loans and credit card debt, giving money to family members, and catching up on condo fees, prosecutors said.
Bernstein tried to hide his thefts by funneling the stolen money through numerous other accounts, “all of which led back to the defendant,” Manhattan DA Cyrus Vance, Jr. said in a statement issued after the sentencing.
“The financial well-being of non-profits depends on earning the trust of donors,” he said. “Those who violate that trust not only harm themselves, they harm the entire organization.”
Non-profits with fraud or embezzlement issues can call the DA’s complaint hotline at 212-335-8900, he said.