Carmel Christkindlmarkt CEO resigns, former board chair sues mayor for defamation

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The holiday market received nearly 10,000 visitors each day in 2024, and generated $9.6 million in sales and $24.3 million in economic impact in Hamilton County, according to CCI's press release. (Photo provided/Carmel Christkindlmarkt via WFYI)

By FARAH YOUSRY

Tensions between Carmel’s prominent holiday market Christkindlmarkt and city officials came to a head this week.

The president and chief executive officer of Carmel Christkindlmarkt Inc., Maria Adele Rosenfeld, resigned from her role. Separately, former Board Chair Susan McDermott sued the city of Carmel and its mayor for defamation.

Rosenfeld was the founding CEO of the organization, which started in 2017 under then-Carmel mayor Jim Brainard.

According to a press release by Carmel Christkindlmarkt Inc., or CCI, Rosenfeld’s leadership brought national and international attention to the market.

The holiday market received nearly 10,000 visitors each day in 2024 and generated $9.6 million in sales and $24.3 million in economic impact in Hamilton County, according to the press release.

“We are extremely grateful for Maria’s service,” Maddie Augustus, chair of the CCI Board, said in the press release. “From the very first market in 2017, she has been instrumental in growing our beloved event into the renowned holiday destination it is today. She is leaving a great mark on the annual Market, our organization and Carmel as a whole. We wish her the best in the next steps of her journey.”

According to the Indianapolis Star, Rosenfeld wrote in her resignation letter that she was excluded from key decisions involving the market, stating that “it has become abundantly clear to me that this board does not want me in this role.”

Tensions have surrounded the market since last fall. The city of Carmel, led by Mayor Sue Finkam, dismissed two of the market’s board members in October. Another member, Susan McDermott, resigned shortly after. 

McDermott, the former board chair of CCI, filed a defamation lawsuit against Finkam and the city of Carmel on April 29 — the same day Rosenfeld resigned from her position.

The city of Carmel declined to comment on the case due to pending litigation.

According to court filings, McDermott was appointed to the CCI board by Finkam in January 2024. She was elected board chair. The board worked on CCI’s “corporate hygiene,” including reviewing finances.

Court documents allege a dispute developed over a proposed operating agreement where Carmel claimed ownership of the festival and CCI’s intellectual property. McDermott raised concerns that this can jeopardize CCI’s nonprofit status.

In court filings, McDermott alleges a meeting on Oct. 3, 2024 was a “ruse” by Finkam to remove board members and install others who would sign the agreement. McDermott resigned upon learning this. She alleges Finkam and Carmel subsequently made false and defamatory statements accusing her of delaying and withholding financials.

“Following McDermott’s resignation from CCI, Finkam and Carmel almost immediately embarked on a systematic effort to willfully, wantonly, recklessly, and/or intentionally make false and defamatory statements regarding McDermott’s professional reputation in an attempt to justify Finkam’s own actions with respect to CCI,” the court filings read.

During recent city government meetings in April, the market’s staffing levels and compensation were discussed. Finkam previously said she wants to protect taxpayer dollars and wants the market to rely less on city funding.

Rosenfeld’s resignation is effective April 30, according to CCI’s press release. The board says it has started planning to search for the organization’s next president and CEO.

“As we look to the future, the board is actively working to identify both interim and long-term leadership,” Finkam said in an emailed statement. “With planning for this year’s event already underway, we remain committed to honoring the market’s legacy while embracing new opportunities to enhance and grow this cherished tradition for years to come.”

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