WASHINGTON — A federal judge ruled Tuesday that Casa Ruby founder, Ruby Corado, will not sit in jail while she awaits her federal fraud and money laundering trial.
Corado was the founder of the nonprofit "Casa Ruby," which provided transitional housing and services for people in the LGBTQ+ community. The nonprofit operated until 2022, when it shuttered its doors and, according to court documents, Corado moved to her native El Salvador.
Federal agents arrested Corado in early March at a hotel in Laurel, Maryland. She had just returned to the D.C. area for the first time since she left. She was charged with several counts of bank and wire fraud, as well as money laundering. It all stems from pandemic-relief loans she took out in the name of Casa Ruby.
Federal prosecutors allege that Corado took out nearly $1.2 million in loans under the PPP program, which would go to Casa Ruby to pay for employees, rent and utilities.
However, charging documents show during that time at around $300,000 went from the Casa Ruby account to another bank account for Corado’s consulting business, then ultimately to Corado’s private bank account in El Salvador.
RELATED: Ruby Corado arrested at Laurel hotel nearly 2 years after fleeing the country, officials say
In her pre-trial detention hearing, attorneys for the government argued that Corado should be held in jail while awaiting trial, as she poses a flight risk. They argued that she left the D.C. area when public allegations of misuse of funds came to light. They pointed out she has citizenship in El Salvador, which does not have an extradition agreement with the United States.
Corado’s attorney countered that white-collar defendants rarely are held in jail before trial. Her attorney argued that Corado left in 2022 to start an international wing of her nonprofit and returned to restart her life back in the DMV. They offered evidence that Corado has family and friends in D.C. and her passport has been taken.
Judge Robin Meriweather weighed several factors in granting the decision to release Corado to a third party custodian. In this case, Corado has several conditions of her pre-trial release. She will stay at the home of her niece in Rockville under 24- hour home confinement with a GPS monitor. She will only be allowed out of the home for medical and court-related reasons.
Judge Meriweather ordered Corado to be released at 9 a.m. Wednesday from the DC jail.
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