Misappropriation of Public Funds: San Francisco Nonprofit Executive Arrested

Former executive director of SF SAFE, Kyra Worthy, charged with felony embezzlement and misuse of over $700,000 in public funds, highlighting systemic failures in oversight and accountability.

A months-long investigation has culminated in the arrest of Kyra Worthy, the former executive director of a defunct San Francisco nonprofit, on dozens of felony charges related to the alleged misuse of over $700,000 in public funds. The arrest sheds light on systemic failures in oversight and accountability, particularly in the allocation of homeless spending.

According to the San Francisco District Attorney's Office, Worthy has been charged with misappropriation of public money, grand theft by embezzlement, submitting fraudulent invoices, wage theft, and writing fraudulent checks while heading SF SAFE. The nonprofit aimed to enhance safety and crime prevention in San Francisco in partnership with the city police department.

Misappropriation of Public Funds: San Francisco Nonprofit Executive Arrested

An audit by the San Francisco Office of the Controller revealed Worthy misspent at least $80,000 in grant funds from the San Francisco Police Department on personal expenses such as luxury gift boxes, a Lake Tahoe trip, parking fees, permits, and ride-hailing services. The complaint also alleges Worthy spent nearly $56,000 of the nonprofit's funds on a holiday party.

Experts in law enforcement and finance expressed shock and dismay at the alleged misuse of funds. David Gelman, a former prosecutor and founder of Gelman Law, believes Worthy's actions exemplify the need for strict oversight and accountability in organizations handling public funds.

Misappropriation of Public Funds: San Francisco Nonprofit Executive Arrested

"She was the executive director, the head of this organization, and no one was overseeing that. And it's very shocking and just sad. There needs to be some oversight, a board. This is a total misuse of money and total gross incompetence," Gelman said.

Nicole Castronovo, a criminal defense attorney, highlighted the negative impact of Worthy's alleged theft on the community. "This was a well-established charity. The San Francisco Police Department even worked with them. It was a charity that had a lot of legitimacy, decades-long run, and in a city like San Francisco that so badly needed these funds. It's just very sad to see this happen," Castronovo said.

Misappropriation of Public Funds: San Francisco Nonprofit Executive Arrested

Worthy's alleged actions also led to wage theft, as the complaint alleges Worthy stopped paying payroll taxes for 27 employees from September 2023 to January 2024, when the nonprofit closed its doors. Over four months, the alleged wage theft totaled around $80,000.

In addition to her alleged personal expenses, Worthy also received over $500,000 in public dollars from the city's Office of Economic and Workforce Development but allegedly never paid it to employees of partner organizations.

Misappropriation of Public Funds: San Francisco Nonprofit Executive Arrested

"One bad apple spoils it for everyone and, in the end, it's the people who really need the money getting hurt the most in all this. They are never going to get whole. These funds were supposed to go to good people. Good people donated these funds and, instead, all of it went to a crook, this con artist," Gelman said.

The District Attorney's Office emphasized that the investigation is ongoing and urged anyone with information to contact the Public Integrity Task Force tip line. The arrest of Kyra Worthy underscores the critical need for robust oversight, accountability, and transparency in the allocation and management of public funds, particularly in programs aimed at addressing social issues such as homelessness.