Lori Zeno, the former executive director of a Queens-based legal services non-profit, has pleaded guilty to conspiracy to commit wire fraud, according to federal authorities. She appeared in court today before Chief Magistrate Judge Vera M. Scanlon in Brooklyn, acknowledging her involvement in diverting funds from the organization that were intended to assist disadvantaged individuals. The U.S. Attorney's Office stated that Zeno faces up to 20 years in prison, as well as potential restitution and fines.
United States Attorney Joseph Nocella Jr. described Zeno's actions as a breach of trust, noting that she diverted funds intended for legal services for disadvantaged clients and community members to personal expenses, including luxury items and vacations. Zeno’s conduct was part of a coordinated scheme involving her husband and co-defendant, Rashad Ruhani, who is scheduled to stand trial in June. FBI agent James C. Barnacle Jr. also commented on the embezzlement, highlighting the importance of preventing misuse of authority in organizations that serve the public.
Court proceedings revealed that Zeno and Ruhani used non-profit funds for personal expenses, including international travel, electronics, and luxury retail purchases. Documents were also altered to conceal Zeno’s involvement in the scheme.
The case against Zeno and Ruhani involves the misuse of funds that were intended to support vulnerable populations. Christopher Ryan, Acting Commissioner of the New York City Department of Investigation, highlighted the impact of such crimes on the community and essential services, and emphasized the need for reforms to strengthen oversight and prevent similar incidents. Assistant United States Attorneys Russell Noble and Sean M. Sherman are handling the prosecution, with support from Paralegal Specialists Johnson Peow and Daniel Arakawa.
