In a notable legal proceeding, the former executive director of Queens Defenders, Lori Zeno, admitted to defrauding over $100,000 meant for underprivileged individuals. During a hearing in Brooklyn federal court, Zeno, aged 65, conceded to one count of fraud conspiracy, unraveling a scheme where funds earmarked for legal defense were misappropriated to finance an extravagant lifestyle. The admittance comes nine months after Zeno was charged in June of the previous year.
For approximately six months, Zeno’s fraudulent activities deprived vulnerable New Yorkers of critical legal services. U.S. Attorney Joseph Nocella Jr. emphasized the breach of trust, noting that Zeno exploited her position to divert funds. Alongside her, her husband, Rashad Ruhani, 55, is accused of using the nonprofit’s credit resources for personal costs, including payments for a penthouse purportedly used for foster care.
Zeno’s leadership at Queens Defenders began in 1996, with her role as executive director starting in 2018 until her departure last year. Ruhani, whom Zeno hired in 2023 and later married in an unofficial ceremony, is slated for trial this coming June.
A related development in this complex case involves journalist Kimberly Osorio, who faces charges of obstruction of justice for allegedly concealing evidence linked to Ruhani. Osorio is actively engaged in plea negotiations but is prepared to face a jury, her counsel, Paul Martin, indicated. Her next court appearance is on February 9.
The unfolding legal matter is being overseen by U.S. District Judge Rachel P. Kovner, with Zeno scheduled for sentencing on April 20. The complexity of the case, noted as USA v. Zeno et al., underlines the severe implications of financial misconduct within nonprofit organizations and the broader impacts on community services.