A United States federal court has sentenced a Nigerian-born former nonprofit executive, Nkechy Ezeh, to 70 months imprisonment for masterminding a $1.4 million fraud scheme involving funds meant for vulnerable preschool children.
The sentencing was announced on Wednesday by the Office of the US Attorney for the Western District of Michigan.
Chief US District Judge Hala Y. Jarbou handed Ezeh a 70-month prison term and an additional concurrent 60-month sentence for tax evasion.
The court also ordered her to pay $1.4 million in restitution alongside $390,174 to the US Internal Revenue Service.
Ezeh, 61, was the founder and former Chief Executive Officer of Early Learning Neighborhood Collaborative, a Michigan-based nonprofit organisation that provided early childhood education services in underserved communities.
She also previously served as an Associate Professor of Education and Director of the Early Childhood Education Programme at Aquinas College.
The court ordered that she be remanded in federal custody immediately after sentencing.
During the proceedings, Judge Jarbou described Ezeh as “a fraud and a thief,” saying the scheme was “brazen and widespread” and involved funds intended for some of the most vulnerable children in the region.
US Attorney for the Western District of Michigan, Timothy VerHey, said the convict diverted taxpayer and donor funds for personal use rather than supporting disadvantaged children.
“Nkechy Ezeh’s greed is beyond reprehensible. She stole taxpayer and private donor dollars meant for low-income children in our community,” VerHey said.
According to court documents, Ezeh used the stolen funds to finance luxury trips to Hawaii, Europe and Africa, as well as family-related expenses, including a wedding.
Prosecutors also alleged that she placed relatives on a “ghost payroll,” allowing them to receive large sums of money for little or no work.
She was further accused of transferring part of the funds to family members in Nigeria through intermediaries.
The nonprofit organisation reportedly received funding from US federal programmes, including Head Start and the Department of Education, in addition to private donations.
Authorities said the organisation provided meals, transportation and educational support services to children from low-income communities.
Following the discovery of the fraud, the organisation shut down operations in 2023, resulting in the loss of funding for several preschools and the dismissal of about 35 employees.
A former bookkeeper with the organisation, Sharon Killebrew, had earlier been sentenced to 54 months imprisonment for her role in the fraud.
US authorities said the case underscored the devastating impact of abuse of federal grant funds on vulnerable communities, particularly children from disadvantaged backgrounds.
The investigation was conducted by the US Department of Health and Human Services Office of Inspector General and the Internal Revenue Service Criminal Investigation unit, while Assistant US Attorney Clay Stiffler prosecuted the case.
