STATE
Former New Mexico homelessness nonprofit director settles allegations she misused federal money
Carolyn Luna-Anderson agreed to pay $735,000 to settle the allegations
The U.S. Attorney鈥檚 Office on Wednesday announced it had settled allegations that a former Santa Fe homelessness nonprofit executive improperly obtained federal housing assistance money.
Federal officials alleged that Carolyn Luna-Anderson served as executive director of The Life Link, a nonprofit offering emergency assistance, housing support and employment services to people experiencing homelessness, while she also controlled the nearby La Luz Special Needs Apartments, which provided housing services through a partnership with The Life Link. Despite controlling both entities and the U.S. Department of Housing and Urban Development grants flowing between them, she never disclosed that as a conflict of interest, the U.S. Attorney鈥檚 Office said.
She also filed for HUD reimbursement for rental assistance payments for vacant units, the federal authorities said.
鈥淐arolyn Luna-Anderson exploited her position and insider knowledge to personally benefit from federal funds intended to provide supportive services to help individuals and families experiencing homelessness,鈥� HUD Acting Special Agent in Charge Aaron McCullough said in a statement.
In an email, The Life Link CEO Michael DeBernardi wrote that Luna-Anderson has not worked at the nonprofit since 2020.
鈥淪ince that time, The Life Link has instituted policies and procedures to ensure that all funds received are used in accordance with funding requirements to further our mission to help those facing chronic homelessness, trauma, mental illness, exploitation and addiction,鈥� DeBernardi wrote.
Luna-Anderson agreed to pay $735,000 to settle the allegations, the office announced.
In a statement, First Acting U.S. Attorney for the District of New Mexico Ryan Ellison wrote that 鈥渇ederal dollars come with accountability.鈥�
鈥淭hose entrusted with public funds must meet the obligations that come with that responsibility and ensure those resources serve the purposes for which they were provided,鈥� he wrote. 鈥淢y office will continue working with our agency partners to protect taxpayer dollars, promote accountability, and ensure that those entrusted with federal resources meet their obligations.鈥�
