Simi Valley Community Foundation Being Investigated for Fraud

The Ventura County (CA) district attorney's office is investigating allegations of embezzlement at the Simi Valley Community Foundation, the Simi Valley Acorn reports.

Established in 2000, the foundation released a statement July 11 announcing that it had discovered "evidence of financial malfeasance" and had hired a forensic accountant to review donations, expenses, and the administration of city-issued community development block and project grants it received for the renovation of a building to house the city's Under One Roof facility. The foundation has since submitted the results of that review to the Simi Valley Police Department, and the Ventura County district attorney’s office has confirmed it is investigating the matter, although it declined to comment beyond saying the investigation was expected to take several months.

In 2014, the foundation received a $50,000 block grant for work it completed on the Free Clinic and was awarded another block grant for $101,613 for construction of the clinic, which has not been fully distributed because not all conditions of the grant have been met, the Acorn reports. The city also awarded grants of $100,000 to the foundation in both 2012 and 2013 for the Under One Roof project.

"This is the first time anybody has found anything that looks amiss," said SVCF spokesperson Tim Gallagher. "When they thought they had something funky, they went right to the police."

Melissa Simon. "Foundation Reports Evidence of Fraud." Simi Valley Acorn 07/22/2016.