Santa Ana Stunned by COVID-Relief Fraud Indictments

News Summary

Federal authorities have indicted two nonprofit leaders from Santa Ana over COVID-relief fund fraud, including allegations of conspiracy, wire fraud, and money laundering. Peter Pham and Thanh Huong Nguyen face serious charges involving misappropriation of $12 million intended for vulnerable community members. As investigations unfold, a former county supervisor is also implicated in the scandal, raising questions about corruption within local nonprofits. The community is now grappling with the shocking breach of trust as local officials work to recover misused funds.

Santa Ana Stunned by COVID-Relief Fraud Indictments

Santa Ana is buzzing with news today as federal authorities announce serious accusations against two nonprofit leaders in what is shaping up to be a shocking COVID-relief fund fraud case. Peter Pham, founder and president of the Viet America Society, and Thanh Huong Nguyen, who is associated with the Hand-to-Hand Relief Organization Inc., have both been indicted on multiple federal charges that are raising eyebrows across the community.

What’s Cooking with the Indictments?

The U.S. Attorney’s office pulled back the curtain on these indictments that were initially sealed following a grand jury return. Pham, aged 65, stands accused of conspiring to commit wired fraud, engaging in honest services wire fraud, and laundering the hefty sum of $12 million in COVID-relief funds given by Orange County. Meanwhile, 61-year-old Nguyen is facing charges that include conspiracy to commit wire fraud and concealment money laundering.

The plot thickens as Pham is currently on the lam, while Nguyen is set to make her first court appearance in Santa Ana this coming Monday. The whole ordeal has sent shockwaves through local nonprofit circles — especially given how these organizations were supposed to help those hardest hit by the pandemic.

Bribery Claims Make Waves

In a twist that seems straight out of a crime drama, former Orange County Supervisor Andrew Do, who resigned last October after entering a plea agreement related to bribery charges, is also being dragged into this controversy. It’s alleged that Do received several bribes from Pham, including payments made to his daughters. An unsettling pattern seems to emerge here, with Do purportedly directing millions in pandemic funding to Pham’s nonprofit for an elder meal program.

Among the contracts of note is a staggering $5 million worth of initial funding from June 2020 aimed at providing meals for the elderly and people with disabilities. However, the allegations suggest that funds which were meant to feed those in need were instead misused, with Pham and Nguyen allegedly misrepresenting their financial plans to artificially inflate their reimbursements to the county.

The Allegations Unravel

Investigators, including the FBI, the Orange County District Attorney’s Office, and the IRS Criminal Investigation division, believe that instead of using the funds for their intended purpose, Pham and Nguyen funneled the money into personal expenses and real estate purchases. This misuse of government aid has prompted Orange County officials to emphasize that accountability will be pursued vigorously.

It gets murkier! The indictment hints at additional, unnamed individuals possibly involved in the fraud. Do’s role in voting on contracts while serving as an advocate for these two organizations raises significant ethical concerns. Beyond this immediate scandal, even other businesses connected to the Nguyen brothers are reportedly under scrutiny for potentially dodgy government contracts.

County Aims to Recover Misused Funds

In the fallout, Orange County is seeking to retrieve funds from the Viet America Society, claiming improper use of the COVID-19 relief funds. The stakes are high, and many community members are left wondering how such a breach of trust could occur in organizations that were meant to aid the most vulnerable.

A Search for Justice

Licenses are being pulled, and federal agents have already executed search warrants at Pham’s home and the home of Do’s daughter, digging deeper into these disturbing allegations. As more information unfolds, the community is left grappling with hard questions about the integrity of the nonprofit sector during one of the most challenging times in recent history.

As we await further developments in this unfolding case, the residents of Santa Ana are eager to see justice served, and just how far this alleged fraud has reached.

Deeper Dive: News & Info About This Topic

HERE Resources

San Diego Trial Unveils Allegations Against DA Todd Spitzer
Orange County Bribery Scandal Shakes Political Landscape
Andrew Do’s Bribery Scandal Rocks Orange County
Orange County Sues Viet America Society Over Fund Misuse

Additional Resources

HERE Huntington Beach

Share
Published by
HERE Huntington Beach

Recent Posts

High Surf and Thunderstorm Warnings Hit San Diego and Orange Counties

News Summary San Diego and Orange counties are facing high surf and potential thunderstorms as…

Orange County Ranks Seventh for Office Space Conversion

News Summary Orange County has been recognized as the seventh-highest U.S. market for converting office…

Fountain Valley Begins Construction on New 272-Unit Slater Ave Apartment Complex

News Summary Construction has started on the Slater Ave Apartments, a new five-story, 272-unit apartment…

Father Mistaken for Homeless Man During Morning Stroll

News Summary In a surprising incident in Huntington Beach, a father was mistaken for a…

Buena Park Enhances Enforcement Against Unauthorized Street Vendors

News Summary Buena Park officials have voted to grant code enforcement officers the power to…

Huntington Beach Prepares for Special Election on Library Measures

News Summary Huntington Beach residents are preparing for a special election focused on two measures…