A couple from Edwardsville, Illinois, has been accused of embezzling over $7 million intended for feeding low-income children in Missouri. Diarra Williams and Nicholas Warford were arrested following an indictment that outlines charges including conspiracy to commit wire fraud, wire fraud, money laundering, and obstruction of an official proceeding.
According to the indictment, the pair allegedly defrauded Missouri’s At-Risk Afterschool Program and Summer Food Service Program by claiming to have served more than 2.2 million meals through The Bailey Foundation, a non-profit organization run by Williams. The funds were then reportedly laundered through Warford's company, Warford’s Classic Catering LLC, using fake invoices for meals that were never purchased.
The alleged fraudulent activities spanned from March 2020 to July 2022. One invoice from April 2021 claimed that 208,456 meals had been served with no actual purchase of milk or significant food expenses recorded.
The indictment also details how the misappropriated funds were used for personal gain. Purchases included a $1.4 million home in Edwardsville and several luxury vehicles such as a Lincoln Navigator and Ram Promaster vans. Additional expenditures involved vacations, home furnishings, school tuition payments, and substantial sums directed towards Warford's mother.
Williams and Warford are accused of falsely reporting their spending as legitimate business expenses to the IRS and attempting to obstruct the investigation by providing false invoices in response to a federal grand jury subpoena.
FBI special agents seized multiple vehicles bought with the alleged fraudulent funds. The indictment seeks forfeiture of these assets along with the couple’s residence.
Charges within an indictment are accusations without proof of guilt; defendants remain presumed innocent until proven otherwise in court.
“The alleged fraud is beyond despicable,” commented Acting Special Agent in Charge Chris Crocker of the FBI St. Louis Division regarding the misuse of taxpayer dollars meant for children’s meals.
IRS-Criminal Investigation St. Louis Special Agent in Charge William Steenson remarked on the severity of the accusations: “It’s hard to put into words how egregious these accusations are.”
The investigation was conducted by the FBI, U.S. Department of Agriculture Office of Inspector General, and IRS – CI. Assistant U.S. Attorney Derek Wiseman is handling prosecution duties.
