In the wake of that controversy, the former president said he chose the New York neighborhood of Harlem because he wanted to be part of the federal empowerment zone -- which provides federal aid for an economically depressed area -- he helped to create.

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Mr. Crucey worked until 2010 as a senior vice president for the Upper Manhattan Empowerment Zone, a taxpayer-funded organization set up to revitalize distressed communities, and was an associate member of the Association of Certified Fraud Examiners, prosecutors said.

WSJ: Billions Lost in Tax-Refund Scam