A federal grand jury Thursday indicted the former director of the Community Action of Minneapolis and his son, a Minneapolis police officer, on charges of alleged theft and fraud for misusing $250,000 in taxpayer money.
The indictment in the ongoing public corruption case alleges that Bill Davis ordered that his son, Jordan, be paid more than $140,000 from an alleged "slush fund" that was intended for heating and energy assistance for low-income residents.
Under Davis' direction, a portion of unused energy assistance aid was diverted to Community Action's former Ben & Jerry's franchise, an ice cream shop near the University of Minnesota that aimed to give low-income youths on-the-job skills and work experience.
Davis' son, Jordan Davis, had managed the ice cream shop before becoming a police officer in 2008. But Jordan stayed on the payroll, receiving 105 paychecks for serving as the shop's manager after he quit in 2006, according to the indictment. Jordan Davis received a "bonus" check of $6,000 on New Year's Eve 2010.
"[Bill] Davis concealed from CAM's board of directors that he ordered CAM's fiscal staff to pay his son for a job he did not perform," according to the 16-count indictment.
Bill Davis allegedly used "intimidation and retaliation to prevent CAM's staff from informing anyone, including CAM's board of directors, that Davis was using his position as CEO to divert funds to his personal use and to that of his family and friends."
Over seven years ending in 2014, prosectors allege that Bill Davis misspent at least $250,000 that should have been "used to provide services to the low-income residents of Minneapolis."
Bill Davis and his son were not available for comment Thursday.