Temporary path to Detroit Riverwalk won't open this year amid alleged $40M fraud scandal
A temporary path to a newer portion of the Detroit Riverwalk will no longer open this year.
That means the Detroit Riverfront Conservancy will wait until fall 2025, when a nearby park opens, to mark the opening of a western stretch of the Riverwalk and its connecting boardwalk in front of the Riverfront Towers apartment complex, confirmed Marc Pasco, conservancy director of communications, in an email.
In a recent email to apartment residents regarding the delay, Pasco had cited “challenges associated with the fraud disclosed earlier this year.”
The fraud referenced is the alleged siphoning of more than $40 million from the nonprofit by its ex-chief financial officer.
The email was first reported by The Detroit News, and Pasco told the Free Press: “In retrospect, I wish I had provided a more comprehensive explanation for our decision.”
There was a cost-benefit analysis at play, he said.
The boardwalk and newer stretch connect to Ralph C. Wilson Jr. Centennial Park, which is under construction and slated to open next fall. The conservancy planned to make the section with the boardwalk and newer pathway accessible this year with a temporary asphalt path that would connect to Jefferson Avenue, just down the road from the Southwest Greenway, instead of the not-yet-completed park.
However, there is significant road work scheduled on Jefferson in the coming months and pedestrian traffic on the Riverwalk is expected to drop during the winter, Pasco said.
The decision was made based on those factors and “analysis that weighed the costs associated with opening and maintaining this new public space during the months prior to when our entire community gathers together to celebrate Ralph Wilson Park in fall 2025,” he said.
The conservancy aims to transform 5.5-miles of Detroit riverfront and has already refurbished and opened key portions in recent years. In wake of the fraud case scandal, foundations have doubled down and committed millions to keep the conservancy’s projects going.
Meanwhile, the conservancy’s ex-CFO, William Smith, is due in federal court this week for a plea hearing in the alleged fraud scheme.
Federal prosecutors argue Smith used nonprofit funds for a lavish lifestyle.
Smith was expected to plead guilty last month to wire fraud and money laundering, but the hearing was abruptly adjourned. Such guilty pleas could land him up to 20 years in federal prison.
Staff writer Christina Hall contributed to this story.
This article originally appeared on Detroit Free Press: Opening of new stretch of Detroit Riverwalk to come in fall 2025