PATERSON-N.J.- The Paterson reentry program ended its lease on it's Montgomery Street building that has become the target of an FBI inquiry.

The FBI and DOJ are investigating a recent $180,000 state grant intended to prevent recently-released inmates from relapsing into criminal behavior by providing clients with housing, counseling, job training and other services. Funds from this grant are alleged to have been misused by the city, to renovate the 4th ward church, that it does not own.

Former governor Jim McGreevey said the New Jersey Reentry Corp. is moving out of the Montgomery Street building where the city’s use of federal funds for renovations has become the target of an FBI inquiry. City employees allegedly worked overtime at the end of 2015 to get a building ready for the program on the directive of Mayor Joey Torres, and that the overtime was paid for with federal dollars.

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McGreevey said the program would eventually have had to move to a new location because of an increase in clients, but he acknowledged that the investigation convinced him to make the change sooner than expected.

When told that the city may seek further action, McGreevey said his organization never had a lease directly with the city and said his group’s lease with the Butler Help Center had an opt-out clause that allowed him to end the lease.

The New Jersey Reentry Corp Paterson site will be operating on 52 Church St. this coming January.