(CN) – The director of a New York City nonprofit health service embezzled almost $60,000 through bogus HIV outreach events, by raising her own salary and paying herself unauthorized “consulting” fees, and took out more than $2 million in fraudulent mortgage loans, federal prosecutors say in New York.
Marilyn John, former executive director of the Caribbean Women’s Health Association, pleaded guilty to embezzlement and conspiracy to commit wire and bank fraud.
Department of Investigation Commissioner Rose Gill Hearn called John’s guilty plea to the federal charges “a fitting wrap-up for a crime spree that seemingly left no opportunity to steal unexploited.”
The Caribbean Women’s Health Association provides health services for low-income immigrant women, including HIV/AIDS prevention and maternal care.
During her tenure as director, John embezzled New York State’s AIDS Institute out of a $17,000 grant by creating a false report about an HIV outreach project that had happened months before she joined the Association.
John also raised her own salary by $22,000 in her first months as director, without authorization. She took $5,000 from Department of Health and Mental Hygiene grant initiative to prevent infant mortality and promote reproductive health by awarding herself “consulting fees.”
John also pleaded guilty to conspiring to defraud mortgage lenders. She filled out fake mortgage applications to get more than $2.5 million in property loans in 2006.
John could face up to 40 years in prison and a $1.25 million fine at her Jan. 14, 2001 sentencing.