Apostle, can't say for sure if it is true, I know I lived in the Bronx, NY where the incident took place, and many of the friends I knew personally, told me it was, that they were around at the time.
I do know that the congregation I was partt of at the time, was the worse in the district, and that I could tell you some horror stories of what went on there, like sisters giving public talks and performing elder duties when their husbands didn't want to, I'm not kidding .... I remember it well, and didn't think anything of it, since I was new, some years later when I met an old friend and we were discussing the old days and he filled me in on what was going on, told me what I saw was just the cream from the top, it was much worse.
I do know that the Society eventually sent in the spiritual swat team and DF'd the whole body of elders and servants and deleted all pioneers.
Interestingly, I remember many elders and servants leaving the congregation, but wasn't sure why, my friend told me that someone tipped them off about an investigation and some of the elders and servants were getting themselves tranferred out, into new congregations, but were tracked down, dealt with and eventually DF'd.
Less Religion and more Jesus!