Florida Men Indicted for $100 Million Nonprofit Fraud

Two Florida men, Leo J. Govoni and John Witeck, have been indicted on charges of stealing over $100 million from a nonprofit organization that managed funds for individuals with disabilities and special needs. The nonprofit, the Center for Special Needs Trust Administration, was co-founded by Govoni 25 years ago and managed over 2,000 accounts containing approximately $200 million for clients across the nation. The indictment, unsealed this week, alleges that Govoni and Witeck used the nonprofit as a personal "slush fund," enriching themselves through lavish spending and complex financial transactions.

Govoni, 67, of Clearwater, and Witeck, 60, of Tampa, are charged with multiple counts including mail fraud, wire fraud, and conspiracy to commit money laundering. If convicted on all counts, they face decades in prison. The indictment reveals that the men concealed their fraudulent activities by sending fraudulent account statements with false balances to clients and their families. The nonprofit filed for bankruptcy in 2024, disclosing that over $100 million in client-beneficiary funds was missing from its trust accounts.

Prosecutors allege that Govoni used the stolen funds to travel on private jets, pay living expenses for his friends and family, and enjoy a lavish lifestyle, including luxury boxes at Tampa Bay Buccaneers games and the Kentucky Derby. The case was investigated by numerous federal agencies, including the FBI, the IRS, and the Social Security Administration. U.S. Attorney Gregory Kehoe described the fraud as "unfathomable," highlighting the betrayal of trust and the ultimate bankruptcy of a lifeline for vulnerable families.

The indictment underscores the severe consequences of financial fraud, particularly when it targets vulnerable populations. The case serves as a stark reminder of the importance of transparency and accountability in nonprofit organizations, especially those managing funds for individuals with special needs. The investigation and subsequent legal proceedings will likely shed more light on the extent of the fraud and the measures taken to conceal it. The outcome of the case will have significant implications for the victims and their families, as well as for the broader community of nonprofit organizations and their stakeholders.