A federal grand jury in Lafayette returned a four-count indictment on April 15 charging Kelsi J. McDaniel, a 29-year-old resident of Lake Providence, with embezzling funds from the East Carroll Parish Housing Authority and committing three counts of concealment money laundering. McDaniel faces up to 10 years in federal prison for the theft charge and up to 20 years for each money laundering count, along with three years of supervised release per count.
The charges come as part of ongoing efforts by the Department of Justice to address fraud involving taxpayer dollars. The department recently announced the creation of the National Fraud Enforcement Division, which is tasked with investigating and prosecuting cases related to fraudulent misuse of federal funds. These efforts are also connected to President Trump’s Task Force to Eliminate Fraud, chaired by Vice President J.D. Vance.
United States Attorney Zachary A. Keller said, “Agencies like ECPHA serve some of the most vulnerable members of our Louisiana communities, and frauds like the one allegedly perpetrated by Ms. McDaniel strike at the heart of those agencies’ ability to do their work. Our Office and federal partners look forward to seeing justice done in this case.”
Special Agent in Charge Jerome Winkle with the U.S. Department of Housing and Urban Development Office of Inspector General added, “Kelsi McDaniel’s alleged actions exploited her position and violated the public trust by stealing federal funds that were intended to help provide housing for the most vulnerable people in our community. HUD OIG will continue to work with its law enforcement partners to diligently pursue and hold accountable individuals who take advantage of their positions of trust to defraud HUD programs.”
According to court documents, McDaniel was serving as Executive Director at ECPHA when she allegedly transferred agency funds from its bank account into her personal account before moving them through CashApps belonging to others who would then return the money back.
The investigation was conducted by agents from both HUD’s Office of Inspector General and the Federal Bureau of Investigation. Assistant U.S. Attorney Cheyenne Wilson is prosecuting with assistance from Legal Assistant Amanda Morgan.
U.S. Attorney Zachary A. Keller made this announcement on behalf of his office for Western District Louisiana.
Authorities remind that an indictment is only an allegation; all defendants are presumed innocent until proven guilty beyond a reasonable doubt.
