In a surprising development that has sent shockwaves through the LGBTQ community in Washington, D.C., Ruby Corado, the respected founder of Casa Ruby, a nonprofit dedicated to serving homeless LGBTQ youth, has been arrested on charges of money laundering and fraud. This arrest comes after a thorough investigation by the U.S. Attorney’s Office for D.C., unraveling allegations that Corado misappropriated at least $150,000 of emergency relief funds.
Casa Ruby has been a pillar in the LGBTQ community, providing vital services and a safe space for those in need. However, according to prosecutors, Corado allegedly diverted funds intended for the nonprofit to personal bank accounts in El Salvador, subsequently concealing these transactions from the IRS. The funds in question were part of over $1.3 million received through government relief programs designed to support organizations during times of crisis.
A Fall from Grace
Corado’s actions came to light in 2022, sparking a swift departure to El Salvador following the sale of her property in Maryland. This escape acted as a precursor to the eventual demise of Casa Ruby in July 2022, as the organization shuttered its doors, leaving employees unpaid and its services discontinued. The U.S. Attorney’s Office disclosed that the subsequent arrest of Corado occurred in Laurel, Maryland, marking a significant turn in this unfolding drama.
The Ripple Effects
The allegations against Corado have not only raised questions about the stewardship of nonprofit funds but have also cast a shadow over the legacy of Casa Ruby. Despite facing a maximum sentence of up to 70 years for the combined charges, Corado has remained defiant, denying any wrongdoing. She attributes the accusations to political retaliation and her vocal criticism of local government practices, particularly against the administration of Mayor Muriel Bowser.
This case underscores the delicate balance between trust and accountability in nonprofit management, especially within marginalized communities. As the legal process unfolds, the focus remains on the implications for those directly affected by the closure of Casa Ruby and the broader discourse on governance and transparency within LGBTQ advocacy groups.