John R. Lynch, 56, from Grosse Pointe Park, was arrested on Thursday, April 8th Connection with the case.
According to official information, Lynch became CFO of the Holy Cross organization in March 2012 and later its CEO in 2015.
Holy Cross was founded in 1948 when Boysville of Michigan was incorporated under the auspices of the Roman Catholic Archdiocese of Detroit. Boysville of Michigan later became Holy Cross Children’s Services, federal officials said.
The organization provides social benefits to disadvantaged children and adolescents and behavioral health services to adolescents and adults. It also supports the homeless.
While he was CEO of Holy Cross, Lynch used the organization’s funds to pay for repairs to his own cars, install a new roof on his house, repay his personal mortgage balance, and make payments on a personal American Express account, so the authorities.
He used Holy Cross funds to pay for his own consulting firm and hired another company to provide security services at the Holy Cross Samaritan Center, the government said. This security company was controlled by officers from Lynch, according to information.
The complaint alleges that Lynch used his Holy Cross American Express corporate card to purchase goods and services for personal use.
Lynch tried to justify some of the payments with fake invoices, authorities said.
Officials said Holy Cross receives federal funding through the National School Lunch Program and the School Breakfast Program. She also receives federal funding under Title IV-E of the Social Security Act, which funds foster families and provides adoption and guardianship support, they said.
Lynch faces charges of wire fraud, postal fraud, and embezzlement and theft of funds under the care, custody and control of an organization that receives federal funding.
Officials said a decision should be made on whether to bring a crime charge when the investigation is complete. FBI officers are conducting the investigation.
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