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Casa Ruby founder awaits federal trial, but DC charity fraud-lawsuit is already in full swing

Ruby Corado faces federal charges related to pandemic-relief funds, but the D.C. attorney general already has a civil case against her and her nonprofit.

WASHINGTON — Legal troubles continue for former LGBTQ+ nonprofit founder Ruby Corado. OnTuesday, a federal judge released the Casa Ruby founder from jail to await her criminal trial. The terms of Corado’s release subject her to 24-hour home confinement at her niece’s home in Rockville, Maryland.

But Corado still faces a civil trial in D.C. that accuses her of spending thousands of dollars meant for the charity on herself.

RELATED:  Federal prosecutors outlined Casa Ruby founder, Ruby Corado's fraud scheme

Wednesday morning, WUSA9 cameras captured Corado for the first time since her arrest. She had just been released from jail.

“How do you respond to the charges against you?” WUSA9 reporter Jess Arnold asked.

“I would recommend you make no comment please,” Corado’s attorney Diane Shrewsbury interjected.

Through an N-95 medical mask, Corado took the advice and just said, “Okay.”

The nonprofit founder faces federal charges of bank and wire fraud, as well as money laundering. Federal prosecutors allege Corado used at least $300,000 in pandemic relief funds for her personal bank account in El Salvador.

When pressed again for a comment and her feelings on the case, Corado responded: “I’m fine, thank you.”

While her case in federal court has just begun, her trial troubles continue in DC Superior Court. The District of Columbia has sued her nonprofit, Casa Ruby, and by extension Corado, for the misuse of charitable funds.

In court filings, Attorney General Brian Schwalb’s office said Casa Ruby received more than $9 million in grants from the D.C. government from 2016 to 2022, when the nonpofit ceased operations.

The case argues that despite millions in grants and donations, the charity was behind on rent for several of its transitional housing projects. It alleges that Casa Ruby has outstanding payroll debts to employees. In one section of the lawsuit, the office alleged Corado sent at least $500,000 to an account in El Salvador.

WUSA9 reached out to Corado's lawyers for the D.C. civil trial, but they did not respond. Casa Ruby and Corado’s next court date for the civil trial is in early April. She will have another federal appearance in the coming months.

For now, Corado has been released to her niece’s custody for 24-hour home detention. As Corado walked out on her way to get a ride to Rockville, Arnold pressed her again on what she has to say to the former employees of Casa Ruby and the people the charity helped.

“I love everybody still, regardless,” Corado said.

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