Defendant Allegedly Used Stolen Funds to Pay for Vacations,
Cosmetic Surgery and Luxury Cars
Earlier today, in federal court in Brooklyn, a nine-count
indictment was unsealed charging Semeo Doe, the former Executive Director of
the Action Center for Education and Community Development, Inc. (Action Center)
in Far Rockaway, Queens, with embezzling, and conspiring to embezzle, hundreds
of thousands of dollars from that charity for his personal use. Doe was also charged with aggravated identity
theft, wire fraud and wire fraud conspiracy in connection with
misrepresentations he made to the New York City Department of Youth and Community
Development. Doe was arrested this
morning and is scheduled to be arraigned this afternoon before United States
Magistrate Judge Peggy Kuo.
Richard P. Donoghue, United States Attorney for the Eastern
District of New York, Margaret Garnett, Commissioner, New York City Department
of Investigation (DOI), and William F. Sweeney, Jr., Assistant
Director-in-Charge, Federal Bureau of Investigation, New York Field Office
(FBI), announced the charges.
As is alleged in the
indictment, between 2010 and May 2019, Doe served as a Director, and as the
Executive Director, of Action Center, a not-for-profit organization that
provided services to children and young adults, and provided meals to
individuals in need. Doe allegedly
embezzled hundreds of thousands of dollars of Action Center funds to pay for
personal expenses including international vacations, jewelry, luxury cars and
cosmetic surgery. As part of the scheme,
he also caused Action Center to submit reimbursement requests for costs that
were not incurred — including financial compensation for two employees for work
allegedly performed after their deaths.
Doe concealed his scheme in part by forging the signatures of Action
Center employees on checks he had issued in the employees’ names, and then
endorsed the checks and deposited them into his personal bank account.
“As alleged, Doe stole money that was supposed to feed the
hungry and provide children with after-school services, and used it to finance
his lavish lifestyle,” stated United States Attorney Donoghue. “Today’s indictment serves notice that those
who steal from charities to line their pockets will pay the price in the
end.”
“It’s difficult to imagine a justification for embezzling
money slated to provide services for children and adults in need, but Doe was
able to excuse this behavior—at least in some part—in exchange for luxurious
personal items and international travel,” stated FBI Assistant
Director-in-Charge Sweeney. “Corrupting
city-funded nonprofits isn’t just disgraceful, it’s also a federal crime.”
“This defendant allegedly diverted funds meant for youth and
adult programming in Queens into his own pockets, using hundreds of thousands
of public dollars he funneled through a shell corporation to pay for expenses
for himself and his family, according to the charges,” stated DOI Commissioner
Garnett. “Fraud involving City
nonprofits robs New Yorkers of programming that enriches lives and provides
opportunity. DOI is proud to work with
the U.S. Attorney for the Eastern District of New York and the Federal Bureau
of Investigation to investigate these crimes and hold accountable individuals
who corrupt City-funded nonprofits for personal gain.”
The charges in the indictment are allegations, and the
defendant is presumed innocent unless and until proven guilty. If convicted of the embezzlement charge, the
defendant faces a maximum sentence of 10 years’ imprisonment. If convicted of conspiracy to embezzle public
funds, the defendant faces a maximum sentence of five years’ imprisonment. If convicted of wire fraud or conspiracy to
commit bank fraud, the defendant faces a maximum sentence of 20 years. If convicted of aggravated identity theft,
the defendant faces a mandatory sentence of two years’ imprisonment.
The government’s case
is being handled by the Office’s Public Integrity Section. Assistant United States Attorney Nicholas J.
Moscow is in charge of the prosecution.
The Defendant:
SEMEO DOE
Age: 57
Far Rockaway, New York
E.D.N.Y. Docket No. 19-CR-218 (JBW)
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