Nonprofit Executive Charged with Embezzlement
A nonprofit executive is facing allegations of misappropriating $134,000 in public funds intended for harm reduction efforts. The money, prosecutors claim, went towards plastic surgery, credit card bills, and extravagant vacations, including a trip to Disneyland.
Amy Knox, previously the chief operating officer of the San Diego Harm Reduction Coalition, reportedly spent around $30,000 on cosmetic procedures such as breast implants, a tummy tuck, along with arm and thigh lifts.
In addition to that, the 45-year-old is said to have spent another $94,000 on a purebred dog, its training, martial arts classes, and a Hawaiian getaway.
The fraud concerns not just Knox but also two others, identified as Amy Hernandez and Amy Ketchum. They lived in a luxurious $1.3 million mansion in the Alpine area of San Diego and possessed a second home as well.
The funds, which were raised through taxes and philanthropic donations, were meant for free overdose prevention drugs and fentanyl testing supplies for the city’s drug users.
Tara Stamos-Buesig, the CEO of the Harm Reduction Coalition, stated that she first became aware of Knox’s actions in May. “She was in the office while recovering from surgery. I had no idea she was using organization funds,” she said.
Stamos-Buesig reported Knox to the prosecutor’s office, triggering an investigation and prompting the county to terminate their contract with the coalition.
By the time the contract ended, she noted, the nonprofit was in disarray. The loss of funding led to layoffs, leaving her organization in a difficult position. “It’s going to be really hard to recover. My organization is destroyed,” she lamented. The Harm Reduction Coalition had received over $11 million in contracts from San Diego County.
The county canceled those contracts in June as investigations against the coalition were initiated.
Knox was arrested last week on six felony charges related to fraud and embezzlement, carrying a potential sentence of up to seven years in prison. Currently, she is held on a $250,000 bail.
District Attorney Summer Stephens expressed her dismay, saying, “It’s disgusting that this scammer chose to use precious, potentially life-saving money to line her own pockets for luxury travel and cosmetic surgery.”
Stephens also raised concerns about the failure of oversight mechanisms meant to protect the county’s financial resources. She noted that Knox had a previous criminal history of embezzling $500,000 from a past employer yet still maintained control over the Harm Reduction Coalition.
Attempts to reach Knox’s attorney for comment were unsuccessful.
