Former Central Coast nonprofit director sentenced to prison for embezzlement
MONTEREY, Calif. (KION) The former Executive Director and President of Central Coast Kids & Families, a nonprofit that provides services for children with special needs, has been sentenced to prison for embezzlement charges.
The Monterey County District Attorney's Office said 59-year-old Lolita Garcia formed the nonprofit in 2008 to provide in-home services to the families of children with special needs and in-school aids to children with special needs at the Salinas City Elementary School District, Greenfield USD, North Monterey County USD, Carmel USD, Pacific Grove USD and the Monterey County Office of Education. The in-home services were paid for by the San Andreas Regional Center, and the in-school services were paid for by the districts and offices.
Investigators found that Garcia over-billed the school districts and SARC for hours that employees did not work on a routine basis. Over the course of the 2013-14 and 2014-15 school years, investigators said she intentionally over-billed by a total of $192,823.
In total, the DA's Office said Garcia embezzled $675,646 from the organization from 2013 to 2015. The office said she used the money to buy several luxury vehicles, a diamond Rolex watch, Louis Vuitton handbags, clothing, entertainment, travel and pay for cosmetic surgery, home improvements and dining. The DA's Office said she did not report the amounts on her tax returns.
After learning about the investigation, the DA's Office said Garcia formed a for-profit, single-member LLC and claimed she did business from that without dissolving the nonprofit or accounting for the money that was required to be spent on the charitable purpose.
Garcia has been sentenced to four years in prison for embezzlement, tax evasion, submitting false invoices and theft by false pretenses. She was taken into custody at the end of the sentencing hearing.
When Garcia was arrested, the court seized her valuable personal property and accounts, which will be held by a court-appointed receiver. They will be liquidated and applied towards her restitution obligations.
