Hud Probe into Nation of Islam Blasted by Jewish Organizations

A Department of Housing and Urban Development investigation, which has cleared security firms affiliated with the Nation of Islam of any wrongdoing, is under attack from members of Congress and Jewish activists.

At the same time, a congressional hearing on the subject last week signaled a low point for black-Jewish relations as some black members of Congress accused Jewish groups of launching an assault on Islam and blacks.

At the hearing, HUD Secretary Henry Cisneros said continuing the investigation "would simply be using government resources to persecute" the Nation of Islam.

Cisneros’ evaluation drew the ire of representatives from the American Jewish Congress and the Anti-Defamation League, who also testified at the hearing before the House Banking and Financial Services Subcommittee on General Oversight and Investigations.

For more than a year, Jewish groups had requested that HUD investigate $10 million in security contracts at low-income housing developments held by firms with ties to the Nation of Islam, the virulently anti-Semitic group led by Louis Farrakhan.

HUD finally agreed to the investigation in January, succumbing to extensive pressure from Jewish groups — including 4,000 letters from supporters of AJCongress — and from members of Congress, including Rep. Peter King (R-N.Y.) and Senate Majority Leader Bob Dole (R-Kan.).

"It is my view that these contracts are helping to finance Farrakhan’s empire of hate," King said in pushing for the investigation earlier this year.

At the hearing last week, the Jewish groups both criticized the HUD investigation and reiterated their belief that the Nation of Islam should not be granted government contracts.

Both ADL and AJCongress argued at the hearing that HUD has shirked its responsibility and "misinterpreted" its role.

ADL went further, calling the investigation "limited and inadequate."

The March 2 hearing had been expected to provide a forum to explore the link between the security firms and Farrakhan. It was also expected to explore allegations that these firms discriminate against non-blacks and people who do not belong to the Nation of Islam.

Instead the marathon session before a packed congressional hearing room deteriorated into a minority vs. white and Jewish vs. black debate. The session lasted more than five hours.

The entire Republican side of the committee present were white men, which was in contrast to the black and Hispanic Democratic subcommittee members.

And the panel testifying against the Nation of Islam was made up exclusively of Jews: Marc Stern of the American Jewish Congress; Jess Hordes and Meyer Eisenberg of the Anti-Defamation League; and Jules Polonetsky, a New York Assemblyman and Orthodox Jew.

"I have to admit that I wish today that you were Irish, black, Italian, Asian, Hispanic, that you didn’t necessarily have to all be Jewish," Rep. Kweisi Mfume (D-Md.) said to the Jewish panel testifying against Nation of Islam.

"The tragedy, mark my words, is that this hearing is going to be seen as a referendum on black-Jewish relations. It’s not that at all," said Mfume, a former chairman of the Congressional Black Caucus and himself a Muslim.

Rep. Maxine Waters (D-Calif.) called the hearing a "witch hunt."

"You’re treading on dangerous ground when you make an argument against the Muslims. If you go after them today, it will be the Jews tomorrow," said Waters, who does not serve on the subcommittee but was allowed to participate in the hearing.

Republican members of the committee argued that the hearing was an appropriate investigation into whether government money is being used to finance the hate and anti-Semitism of the Nation of Islam.

"I summarily reject and repudiate those remarks," Rep. Bob Barr (R-Ga.) said in response to Waters. "We seek some answers to some very legitimate questions."

Scores of Nation of Islam supporters at the hearing repeatedly interrupted the proceedings with applause as Cisneros and HUD officials praised the security companies for cleaning up the housing projects.

They also responded favorably as Democratic members of the committee attacked the Jewish groups for raising the issue and as Nation of Islam security company officials attacked ADL, suggesting that the group should lose its tax-exempt status.

Testifying in defense of the Nation of Islam-affiliated security firms, Leonard F. Muhammad, president of New Life, one such firm, and a Nation of Islam official, told King in a heated exchange, "you ought to be ashamed of yourself."

"I don’t appreciate this hearing one bit," Muhammad said. "The laws you seek compliance with should also be used for the protection of our rights. Where is the focus on the money we have saved you, and the lives we have saved?"

In response Rep. Spencer Bachus (R-Ala.), the subcommittee chairman, admonished Muhammad, saying, "I don’t consider you to have saved this country and its people one dime" if your guards recruit new members and spread Farrakhan’s hatred about Jews.

Polonetsky came to argue that the security guards were proselytizing on the grounds of at least one housing development in New York.

The HUD investigation uncovered nine Nation of Islam-related contracts for security in public housing projects and federally subsidized apartments in Baltimore, New York, Chicago, Washington, Buffalo and Dayton, Ohio. Fifteen other contracts were terminated for unknown reasons or have since expired.

The $10 million in contracts are held by New Life Self Development Inc., NOI Security Agency Inc., X-Men Security, Inc. and Nation of Islam Community Support Group.

In testimony at the hearing, Cisneros outlined what he termed a "thorough" investigation that in the end praised the security services.

Although the investigation uncovered "some local contracts with security firms which are run by persons who practice the Islamic faith," Cisneros argued, "federal law does not permit a local housing provider to refuse to contract with firms because of their religious affiliation."

Cisneros equated the Nation of Islam contracts to those held by B’nai B’rith, which runs HUD-subsidized elderly housing developments as well as to contracts granted to other religious groups.

After the hearing, ADL National Director Abraham Foxman chastised the HUD secretary.

The "shallow comparison of the Nation of Islam with Catholic charities, B’nai B’rith and the Salvation Army is odious and deeply offensive," Foxman wrote to Cisneros.

Both ADL and AJCongress officials argued that Cisneros’ investigation, which was based on interviews with tenants and a limited number of security guards, does not address the question of whether the firms discriminate.

"The issue is not whether the guards are doing a good job and the resident are happy with them," Stern said. "HUD did not ask the right questions."

Although he believes that this is a "HUD responsibility," Stern said his organization will pursue the issue, turning back to the Office of Federal Contract Compliance, which originally passed him on to HUD.

Both AJCongress and ADL said they will also consider turning to the Equal Employment Opportunity Commission to look into the matter.

Another option that remains open is that the House Banking subcommittee will require HUD to refocus its investigation.

Capitol Hill aides say the subcommittee has not yet made any decision.