Leonard Kaiser

In his resignation letter dated Nov. 6, Kaiser said his resignation would be effective immediately. "It has been a distinct honor and privilege to have served on this board," wrote Kaiser in the letter. He gave no reason for his resignation.

The FBI searched Kaiser’s home on Nov. 13, Police Chief Louis Ghione confirmed. North Arlington police had no details regarding why he was searched.

"At 7 a.m., the FBI advised us that they were executing a search warrant at his house and that they did not need our assistance," said Ghione.

Kaiser, who is also director of the Bergen County Utilities Authority, has been in the spotlight recently after federal subpoenas dropped on area towns such as Rutherford, Lyndhurst and North Arlington requested materials relating to Kaiser and his involvement with Government Grants Consulting.

The U.S. attorney's office has been seeking information relating to Government Grants Consulting, a firm concerned with securing government grant money to towns which Kaiser owned a financial stake in. The nature of the investigation is confidential. The firm's politically-connected owners, including Kaiser, Bergen County Democratic Club chairman Joseph Ferriero and attorney Dennis Oury, secured a $50,000 grant for the Town Hall Park in Lyndhurst and received $5,000 from the township, as well as a $6,000 retainer fee. Lyndhurst hired Government Grants Consulting in 2002 and 2003.

In September, Oury and Ferriero were charged with defrauding the borough of Bergenfield. U.S. Attorney Christpher Christie charged the pair with using their political influence to gain money from the town. Kaiser was not indicted or named in the indictment, but in it, he was referred to as "individual 1."

Educational/Athletic Foundation

In addition to being the director of the Bergen County Utilities Authority, Kaiser headed the North Arlington Educational/Athletic Foundation until this year, where he served as president, according to state records regarding the non-profit organization.

At this year’s reorganization meeting, former Board of Education Trustee and Republican candidate for borough council Brian Fitzhenry became president of the educational/athletic foundation, according to district secretary Carol Ostanski.

In 2007, the foundation earned $326,903 in revenue for its childcare program and $101,439 for its summer camp, according to the records filed with the state. Eight five children are enrolled in "before the bell" childcare for $95 per month. Nineteen children are enrolled in Pre-K care during the afternoon for $225 per month and 131 children are enrolled in after care for $200 for five days and $174 for four days. There are currently 25 children on the waiting list, according to Ostanski.

Other revenues came from a fundraising golf outing, which brought $14,426 to the foundation. At year-end, the organization had $143,922 in surplus. The rest of the money raised was used to offset the cost of the program, including $271,446 in salaries.

According to 2007 records, the foundation consisted of individuals who belong to Kaiser’s administration, including former borough attorney Peter Scandariata who served as secretary and former borough administrator Robert Landolfi who served as treasurer. Fitzhenry was the vice president of the foundation. Superintendent Oliver Stringham served as a trustee.

None of these officials received payment for their service. Board of Education President George McDermott had no official comment on the matter. "At this time, I’d have to say let the legal processes take their turn," he said. "He’s always come forth with information when we’ve asked for it."

Borough officials would not comment on the matter.