On January 10, Shannon Caruso, a 48-year-old woman from Alabama, received a 14-month prison sentence for her involvement in a case of embezzlement. Caruso, who served as a property manager for two government housing authorities that offered affordable housing to low-income individuals, misused her authority to steal rent payments intended for government-assisted low-income housing.
Court documents reveal that Caruso deceived renters by instructing them to make rent checks payable to her or leaving the payee line blank. Instead of depositing the rent money with the housing authorities as required, Caruso kept the funds for herself. Interestingly, despite her theft, both housing authorities decided not to evict tenants who genuinely believed they were paying their rent correctly.
During the hearing, U.S. District Court Judge Terry F. Moorer strongly criticized Caruso’s actions, highlighting the substantial harm her theft had inflicted on vulnerable individuals who were already struggling financially. Judge Moorer emphasized that Caruso’s selfish acts had likely impacted innocent people who were already facing difficult financial circumstances. As a consequence, Caruso was sentenced to the maximum recommended prison term of 14 months, as per her advisory sentencing guidelines.
Special Agent-in-Charge Jerome Winkle from the U.S. Department of Housing and Urban Development (HUD) Office of Inspector General (OIG) also expressed his thoughts on the case. He stated that Shannon Caruso had admitted to taking advantage of her role as a property manager to exploit elderly and low-income individuals. She achieved this by stealing their monthly Housing Choice Voucher rent payments and redirecting them to her personal bank account. Agent Winkle emphasized that the HUD OIG remains committed to collaborating with law enforcement agencies to actively pursue and hold accountable those who target vulnerable members of our community.
Sean P. Costello, the United States Attorney for the Southern District of Alabama, expressed similar sentiments, describing Caruso’s crime as particularly severe. He stated, “It is especially egregious for this criminal to steal the rent money from vulnerable victims. We are committed, along with our law enforcement partners, to ensuring that anyone who preys on the citizens of South Alabama is held accountable.”