A Nigerian-born former nonprofit chief executive, Dr Nkechy Ezeh, has been sentenced to 70 months in prison by a United States federal court for orchestrating a $1.4 million fraud scheme involving taxpayer and donor funds meant for vulnerable preschool children.
The sentencing was announced on Wednesday in a statement issued by the Office of the US Attorney for the Western District of Michigan.
Chief US District Judge Hala Y. Jarbou delivered the sentence and also imposed a concurrent 60-month jail term for tax evasion. The court further ordered Ezeh to pay $1.4 million in restitution and an additional $390,174 to the US Internal Revenue Service.
Ezeh, 61, a resident of Kent County, Michigan, founded and served as Chief Executive Officer of Early Learning Neighborhood Collaborative, a West Michigan nonprofit organisation providing early childhood services in underserved communities.
She previously worked as an Associate Professor of Education and Director of the Early Childhood Education Programme at Aquinas College.
The court ordered that she be immediately remanded in federal custody following sentencing.
During the proceedings, Judge Jarbou described the offence as “brazen and widespread,” noting that the fraud involved funds intended to support vulnerable children.
US Attorney for the Western District of Michigan, Timothy VerHey, said the convict diverted money meant for low-income children for personal use.
According to him, the stolen funds could have supported hundreds of children and their families but were instead spent on personal expenses.
Court documents revealed that Ezeh used the misappropriated funds to finance luxury travel to Hawaii, Europe and Africa, as well as expenses related to a family wedding.
Prosecutors also disclosed that she placed relatives on a ghost payroll, allowing them to receive large payments for little or no work. She was further accused of transferring stolen funds to family members in Nigeria through intermediaries.
The nonprofit organisation received funding from US federal programmes, including Head Start, the Department of Education and private donors, providing meals, transportation and support services to children from low-income communities.
Authorities said the organisation shut down in 2023 following the fraud, resulting in the loss of preschool funding and the layoff of 35 employees.
A former bookkeeper at the organisation, Sharon Killebrew, earlier received a 54-month prison sentence for her role in the scheme.
The investigation was carried out by the US Department of Health and Human Services Office of Inspector General alongside the Internal Revenue Service Criminal Investigation unit, while Assistant US Attorney Clay Stiffler prosecuted the case.
