The authorities has revenge a suit against nan Foodbank of Southern California alleging that its leaders misappropriated much than $11 cardinal successful authorities costs to enrich themselves and their families complete nan people of a decade.
The astir 50-year-old Long Beach nonprofit shuttered astir operations successful September aft nan authorities halted each backing and California Highway Patrol agents raided nan building as portion of an investigation into nan nonprofit’s usage of authorities money.
For years, nan nutrient slope operated arsenic a grocery-and-meal distribution hub serving hundreds of nutrient pantries successful Long Beach and South Los Angeles acknowledgment to millions of dollars successful backing from nan Department of Social Services.
But nan state’s lawsuit, revenge March 25, alleges that committee members utilized nan money connected trips to Las Vegas, a location renovation, cellphones, smart watches, Christmas decor, a truck, for-profit business ventures and more. The suit was first reported by nan Daily Journal.
“For astatine slightest nan past decade, nan Foodbank’s officers, directors, and vendors worked together to divert millions of dollars of authorities and national costs distant from these astir susceptible communities, into their ain pockets,” nan title states.
The suit names 10 existent aliases erstwhile committee members and 2 of their family members.
Brian Weaver, nan nutrient bank’s main executive, told The Times successful an question and reply connected Monday that he was appalled to beryllium named successful nan suit, saying that he had been moving to guidelines retired fraud successful nan statement since taking complete arsenic main executive past spring.
He said he had hired a forensic accounting patient to analyse soul corruption aft discovering millions of dollars’ worthy of questionable payouts.
“Almost each nan grounds that they [the state’s attorneys] person is based connected nan forensic investigation that we initiated,” he said, referring to nan lawsuit.
The suit alleges that erstwhile committee Treasurer Giuseppe Briguglio and his comparative Abele Briguglio funneled much than $6.28 cardinal successful authorities backing into contracts pinch individual businesses that provided “nonexistent aliases unusable equipment aliases services” to nan nutrient bank.
Another erstwhile committee member, Dion Rambo, is accused by nan authorities of entering into an statement for his company, Southwest Group, to supply advertizing services for nan nonprofit. The institution received $279,749 from nan nutrient slope but did not supply nan contracted services, nan suit alleges.
“Upon accusation and belief, Defendant Rambo kept those costs for individual use,” according to nan lawsuit.
Former CEO Jeanne Cooper and her husband, Lamarr Ramsey, are accused of owing nan Department of Social Services much than $250,000. The authorities alleges she purchased cellphones, smart watches, location renovations, furniture, location section services, state cards, gift cards and an artificial Christmas character pinch nutrient slope funds.
Cooper, Rambo, Ramsey and nan Briguglios did not instantly respond to The Times’ petition for comment.
Cooper denied utilizing nan nonprofit’s costs for individual usage successful an October statement to NBC4. At nan time, she told nan position she had alerted authorities officials to nan ongoing misuse of funds.
Cooper stepped down arsenic CEO successful March 2024 and was replaced by Weaver.
The state’s suit alleges that Weaver utilized authorities costs to acquisition a individual Tesla and constitute a $20,000 cashier’s check.
Weaver said nan Tesla was a activity conveyance that had been registered successful his sanction arsenic it was cheaper to person it connected his individual security aft a erstwhile worker collapsed nan erstwhile activity car. He said nan cheque was utilized to salary for work completed connected a institution motortruck aft nan authorities froze each backing to nan nonprofit.
Among nan different group named successful nan title is organization activistic “Sweet” Alice Harris, who founded Parents of Watts, a nonprofit dedicated to supporting disadvantaged younker and families successful Watts.
The suit alleges that Harris utilized her position connected nan nutrient bank’s committee to chimney much than $173,000 successful backing to Parents of Watts.
She’s besides accused of utilizing her domiciled to prosecute her granddaughter arsenic a salaried worker and name her son-in-law to nan board. She did not instantly respond to a petition for comment.
Weaver laments that nan nutrient bank’s operations person been halted successful nan aftermath of nan probe. The nonprofit delivered 40 cardinal to 60 cardinal pounds of nutrient annually to 275 pantries that service much than 850,000 food-insecure individuals, according to its website.
“A batch of group are going hungry,” he said. “A batch of group are suffering.”