Former Executive Director and CFO of the Coshocton Metropolitan Housing Authority Gregory Darr pleaded guilty to embezzling more than $431,000 from the United States Department of Housing and Urban Development.
Beginning in 2012 and continuing through September of last year, Darr repeatedly embezzled money from both the CMHA and its Resident Council–which he led and was paid by in violation of federal regulations–for himself and Eric Blackwell, his partner in crime.
“Over time, Darr consolidated power and authority over both CMHA and the resident council. Abuse of these positions of public trust enabled him to embezzle and convert federal funds and to conceal his crimes from others,” U.S. Attorney Benjamin Glassman said in a statement from the Department of Justice.
Darr used the money he embezzled to, among other things, pay for restaurant bills, out-of-state expenses accrued in connection with real estate ventures he co-owned with Blackwell, home improvements to his and Blackwell’s properties, and a marina slip with lot rental at Spend-a-Day Marina on Indian Lake.
According to the DOJ statement, Darr would regularly travel to Georgia to manage his investment properties while on the clock. He and Blackwell also used CMHA office space and supplies to operate their joint business ventures.
On top of all this, allegedly when Darr learned of the investigation into his dastardly deeds in August of last year, he set about trying to cover it up by falsifying resident council meeting notes and attempting to conceal records relevant to the investigation.
Eventually, his luck ran out, and now Darr has pleaded guilty to conspiring to embezzle money from the United States, a crime punishable by up to five years in prison. As part of his plea, Darr will pay restitution to HUD totaling $431,668.45.
“The charges disclosed today prove our continuing resolve to root out fraud and corruption in all forms, particularly when the programs involved should have been used to help our neediest families,” HUD Office of the Inspector General Special Agent in Charge Brad Geary said in a statement.
“It is our continuing core mission to work with our law enforcement partners and the United States Attorney’s Office to protect the integrity of our housing programs and to take strong action against those who seek to personally benefit from them.”
