A Brooklyn priest on Monday was relieved of his pastoral duties after an investigation revealed nearly $1.9 million in undocumented financial transactions and other policy violations.
Monsignor Jamie Gigantiello, former pastor of Our Lady of Mount Carmel-Annunciation Parish in Williamsburg, allegedly transferred parish funds to entities linked to Frank Carone, former chief of staff to Mayor Eric Adams, without informing diocesan officials or securing required approvals, according to a press release from the Roman Catholic Diocese of Brooklyn.
An independent probe conducted by Alvarez & Marsal and Sullivan & Cromwell LLP also uncovered alleged misuse of a church credit card for significant personal expenses.
In January 2019, Monsignor Gigantiello transferred $1 million to Carone’s law firm, Abrams Fensterman LLP. The Monsignor did not inform Diocesan officials or seek the required approval for this transfer. He also did not get necessary details from Carone about the use of these funds, the Diocese said. Between June 2020 and June 2021, Carone’s law firm repaid these funds, along with the equivalent of approximately 9% interest.
Then in August 2021 and November 2021, Monsignor Gigantiello made two additional transfers, totaling $900,000, of parish funds to two companies affiliated with Carone, Cesco, LLC and Lex Ave 660 Partners LLC. In February 2022, Monsignor Gigantiello requested early repayment of the principal amounts for both loans without requiring the payment to the Parish of the substantial interest provided for under the notes.
In February 2022, Gigantiello reportedly waived substantial interest owed on a $900,000 loan to companies tied to Carone. Federal investigators have since subpoenaed Gigantiello as part of a corruption probe into Adams’ administration.
Gigantiello’s suspension follows a separate controversy involving pop star Sabrina Carpenter, who filmed part of her music video for “Feather” at the parish without proper approval.
The Diocese has since appointed Bishop Witold Mroziewski as parish administrator.
“I am saddened to share that serious violations of Diocesan policies have been uncovered,” Bishop Robert J. Brennan said in a statement. “In order to safeguard public trust and protect church funds, Monsignor Gigantiello has been relieved of his governance role at the parish.”
