The CEO of a California gay charity has been charged with embezzling almost a million bucks of the organization’s money.
The charity official, Jacob Joseph Aaron Rostovsky, has been charged with 53 felony counts including fraudulent claims, grand theft, misappropriation of public funds, insurance fraud, perjury and money laundering, according to KTLA-TV.
The DA said the indictment includes “an aggravated white-collar crime enhancement due to the significant economic loss of the scheme.”
The organization, called Queer Works, aims to provide mental health services to gay, transgender, and non-binary people.
Per KTLA:
The DA’s office says that in July of 2021, Queer Works received grant funding from Riverside County for programs aimed at assisting homeless individuals and victims of domestic violence.
In 2022, the DA’s office says the nonprofit received $200,000 from the city of Palm Springs to develop a universal basic income pilot program, and then an additional $500,000 in matching funds for a universal basic income grant.
“The universal basic income program was supposed to provide 180 participants with monthly stipends of $800,” the DA’s office wrote in a news release.
County officials later found discrepancies in Queer Works’ expenses during financial reviews, and altered documents submitted by Rostovsky. In addition, county-issued checks were found to be deposited into the CEO’s personal checking account.
Investigators say that they found at least 89 instances of Rostovsky making false statements about the charity and that he also filed false paperwork.
They added that the 33-year-old CEO used the money for personal expenses.
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