Elsewhere online
September 11, 2015

Defunct Minn. Charity's Leader Charged With $250,000 Fraud

The former director of a prominent Minneapolis social-service nonprofit was indicted Thursday for allegedly misusing $250,000 in government funds, the Star Tribune reports. Bill Davis faces federal theft and fraud charges in connection with an ongoing corruption inquiry into Community Action of Minneapolis, which was shuttered a year ago after state officials raided its headquarters.

According to the 16-count indictment, Mr. Davis diverted more than $140,000 in charity funds to his son, Jordan Davis, who has also been charged. The younger Mr. Davis managed an ice-cream shop run by Community Action to provide job skills for youths but allegedly continued to receive paychecks for years after leaving the post and becoming a police officer.

Bill Davis is also accused of financing numerous personal trips for himself and girlfriends from the coffers of Community Action, which primarily provided taxpayer-funded heating and energy assistance to low-income residents. Several high-profile Minneapolis politicians served on the charity's board but resigned last year following a scathing state audit of the group's finances. A lawyer for Mr. Davis disputed the fraud charges and said her client "has cooperated with authorities and continues to do so."