Ruby Corado, founder of the Washington D.C.-based non-profit Casa Ruby, which has historically provided services to the LGBTQ+ community, admitted to embezzling at least $150,000 in government COVID-relief funds meant for the organization. In a turn of events, Corado, 53, pled guilty to wire fraud in federal court today and now faces a potential max sentence of 20 years as set by U.S. District Judge Trevor N. McFadden, with a sentencing date slated for January 10, 2025, according to the U.S. Attorney’s Office.
The charges against Corado came following allegations of wrongful transactions from Casa Ruby's allocated $1.3 million from the Paycheck Protection Program and the Economic Injury Disaster Loan program—funds intended to support employees and the non-profit's operational costs during the Covid pandemic, Corado funneled at least $150,000 to personal accounts in El Salvador, which was then undisclosed to the IRS; this, while Casa Ruby contended with financial strife and eventual suspension of its services including failing to pay rent for multiple properties and compensating its workforce, resulting in closure and ceasing of all its services in July of the prior year.
Previously boasting over 50 employees and offering vital services such as housing for homeless LGBTQ+ youth, legal assistance for LGBTQ+ immigrants, and mental health support among others, Casa Ruby claimed to serve over 6,000 individuals annually through more than 30,000 social and human services. However, the institution's legacy has dramatically shifted following the revelation of Corado's misdeeds, and only time will dictate the lasting implications on the community once served by Casa Ruby.
FBI agents apprehended Corado after she unexpectedly returned to the U.S. and was found staying at a hotel in Laurel, Maryland—this after selling her home and relocating to El Salvador amidst surfacing financial irregularities at Casa Ruby in 2022. The investigation was led by the FBI Washington Field Office and the D.C. Office of Inspector General, and the case is being prosecuted by Assistant U.S. Attorneys John Borchert, Madhu Chugh, and Kathryn Rakoczy. While wire fraud carries a sentence of up to 20 years, Corado's final sentence will depend on U.S. Sentencing Guidelines and other statutory factors considered by the court when she stands for sentencing early next year.
