Feds charge two former workers with defrauding HANO - FOX 8 WVUE New Orleans News, Weather, Sports

Feds charge two former workers with defrauding HANO

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New Orleans, La. – The U.S. Attorney's Office announced charges Thursday against two former Housing Authority of New Orleans workers accused of defrauding the agency.

Janice Staves and James Youngblood, both of New Orleans, were charged in a bill of information with conspiracy to commit theft concerning programs receiving federal funds.

According to court documents, 55-year-old Staves was employed as a purchasing clerk for HANO from 1992 until June 1, 2009 and 69-year-old Youngblood previously worked there from 1972 until 2003.

Federal prosecutors accuse Staves and Youngblood of embezzling money from HANO in 2007.  They say Youngblood, who performed no work for HANO, received checks totaling $661,904.11 in 2007, while Staves deposited approximately $100,448 in cash from Youngblood into accounts that she controlled.

According to the U.S. Attorney's Office, procedures for requisition orders for jobs were circumvented in connection with the elaborate scheme which allowed Staves to generate false paperwork, resulting in payments to Youngblood for work never performed and payments in advance for work to be performed, but was never authorized or performed.

If convicted, Staves and Youngblood face up to five years in prison and $250,000 in fines.

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