RIVERSIDE, California
Officials stated that the former CEO and executive director of two San Bernardino County nonprofit organizations was arrested Tuesday on an indictment alleging she embezzled federal grant money intended for the nonprofit.
According to officials, she allegedly used more than $225,000 of it for unauthorized expenditures such as wedding and travel expenses and cryptocurrency.
Donise Warren, 51, a.k.a. “Donise Warren-Jackson,” “Donise Jackson,” and “Donise Conerly,” of Canyon Lake, are charged with 15 counts of embezzlement from organizations receiving federal funds and 15 counts of embezzlement of government property.
Each charge is a felony punishable by up to 10 years in federal prison.
Warren pleaded not guilty to the charges against her
A federal magistrate judge ordered her released on $75,000 bond. Warren’s trial is scheduled for July 1. She is presumed innocent unless proven guilty
Warren was the president, CEO, and executive director of the Citadel Community Development Corporation (CCDC), whose mission was to assist at-risk individuals with affordable housing, career services, and education services.
Warren was also the president, CEO, and executive director of the Citadel Community Care Facility (CCCF), another nonprofit operating at the same location as CCDC.
According to the indictment, which a grand jury returned on May 1, Warren was in charge of CCDC from at least March 2016 until October 2023.
During this period, Warren secured three grants from the United States Department of Labor Employment and Training Administration (DOL-ETA) on behalf of CCDC.
The grants, which DOL-ETA awarded, specified that the money must go toward authorized expenses. However, Warren is accused of misappropriating approximately $101,000 of this grant money for personal use, including wedding and travel expenses, and directing a $25,000 payment to her spouse’s personal credit card.
Warren managed CCCF from at least March 2020 to around February 2023. During her tenure, she applied for a Substance Abuse and Mental Health Services Administration (SAMHSA) grant on behalf of CCCF through the United States Department of Health and Human Services.
After the grant was awarded, Warren diverted roughly $127,500 of the funds into her personal Coinbase account and used them to buy various cryptocurrencies
The United States Department of Labor Office of Inspector General and the United States Department of Health and Human Services Office of Inspector General investigated this matter.
Assistant U.S. Attorney Cory L. Burleson of the Riverside Branch Office is prosecuting this case.