Tag

Nonprofit Corruption

All articles tagged with #nonprofit corruption

Federal Crackdown: LA Homeless Nonprofit Leaders Arrested for Millions in Fraud

Federal authorities arrested two employees of Los Angeles-area homelessness nonprofits on Wednesday, alleging they misappropriated millions in public funds for personal luxuries. Michael Young, founder of Home At Last, faces charges for embezzling over $7.5 million to finance a nightclub and vacations, while Lakiya Malone is accused of taking $180,000 in bribes for falsifying client records. A third suspect, Donye Mitchell, remains at large. The arrests are part of a broader federal initiative to investigate fraud in blue-state social programs.

via The Guardian|

#crime-and-public-safety #doj #federal-fraud

crime-and-courts1 month ago•4 min saved

Federal Crackdown Targets L.A. Homeless Nonprofits for Millions in Fraud

Federal authorities arrested two individuals and charged a third in a major crackdown on fraud within Los Angeles homeless services. Michael Young, founder of the nonprofit Home At Last, faces wire fraud charges for allegedly misappropriating over $7.5 million in taxpayer funds to finance a nightclub, luxury vacations, and vintage car restorations. Lakiya Malone, an employee of Special Service for Groups, was arrested for accepting over $180,000 in bribes to enroll 'ghost participants' in housing programs. A third defendant, Donye Mitchell, remains at large after allegedly diverting $1.2 million in grant money for personal expenses. The Justice Department described the actions as a brazen exploitation of vulnerable populations, while HUD officials criticized the Los Angeles Homeless Services Authority for failing to prevent such waste.

via Los Angeles Times|

#crime-and-courts #fbi #federal-fraud