A Nigerian-born former nonprofit executive has been sentenced to over five years in prison in the United States after being found guilty of orchestrating a $1.4 million fraud scheme that diverted funds meant for underprivileged preschool children.
A United States federal court has handed down a 70-month prison sentence to Dr. Nkechy Ezeh, a Nigerian-born former nonprofit executive, after she was found guilty of masterminding a $1.4 million fraud scheme that diverted funds meant for underprivileged preschool children into her own pocket.
The sentence was delivered by Chief US District Judge Hala Y. Jarbou of the Western District of Michigan, who also imposed a concurrent 60-month term for tax evasion. In addition to her prison time, Ezeh was ordered to pay back $1.4 million in restitution and a further $390,174 to the Internal Revenue Service.
She was taken into federal custody immediately after sentencing.
Ezeh, 61, from Kent County, Michigan, founded and led the Early Learning Neighborhood Collaborative (ELNC), a West Michigan nonprofit dedicated to providing early childhood services to children in underserved communities.
She also previously served as an Associate Professor of Education and Director of the Early Childhood Education Programme at Aquinas College.
During sentencing, Judge Jarbou was scathing in her assessment, describing Ezeh as a fraud and a thief and characterizing the scheme as brazen and far-reaching.
US Attorney Timothy VerHey echoed the sentiment, stating that Ezeh’s conduct was beyond reprehensible, adding that funds which could have supported hundreds of low-income children and their families were instead spent on personal indulgences.
Court documents revealed that Ezeh used the stolen money to fund luxury travel to Hawaii, Europe, and Africa, finance a family wedding, and place relatives on a ghost payroll enabling them to collect hundreds of thousands of dollars for little or no work.
She also allegedly used middlemen to funnel stolen funds to family members in Nigeria.
The ELNC had been funded through major US federal programmes including Head Start and the Department of Education, as well as private donations, and provided meals, transportation, and support services to children from low-income households.
The fallout from the fraud was severe the organization was forced to shut down in 2023, resulting in the loss of funding for several preschools and the dismissal of 35 employees.
A former bookkeeper at the nonprofit, Sharon Killebrew, who was identified as a co-conspirator in the scheme, had earlier been sentenced to 54 months in prison for her involvement.
The case was investigated by the US Department of Health and Human Services Office of Inspector General and the IRS Criminal Investigation unit, and has been cited by authorities as a stark example of the damaging consequences of federal grant abuse on vulnerable communities.