The former president of a Maine nonprofit who agreed last month to repay the group $4.6 million to settle a civil lawsuit will plead guilty to federal fraud charges later this month, according to the Bangor Daily News. Russell "Rusty" Brace, who led United Mid-Coast Charities as a volunteer from 1997 to 2014, is slated to admit to counts of bank and tax fraud in a May 29 court appearance, his attorney told the newspaper.
Mr. Brace admitted to breach of duty, fraud, and conversion of money belonging to the charity as part of last month's settlement and agreed to sell his property-management firm and almost all other assets to make restitution. United Mid-Coast, which makes contributions to Maine social-service groups, took legal action after uncovering the theft of hundreds of donation checks made out to the charity. Defense attorney Peter DeTroy said he could not speculate on a possible sentence for Mr. Brace.