SPOKANE, Wash. - One of Spokane's most recent controversial figures in back in the limelight.
Rachel Dolezal, former president of Spokane's NAACP chapter, has been charged with welfare fraud after investigators discovered she had failed to report part of her self-employment income.
Dolezal is accused of 1st Degree Theft by Welfare Fraud, Perjury in the 2nd degree, and False Verification for Public Assistance.
Dolezal, whose legal name was changed to Nkechi A. Diallo in 2016, is accused of receiving $8,747 in illegal food assistance, and $100 in illegal childcare assistance, totaling $8,847.
According to court documents, the investigation began when a DSHS criminal investigator reviewed her records and found that she had been reporting her only source of income as $300 per month in gifts from friends. He researched the publisher of Diallo's book and found a typical contract would include payments of $10,000 to $20,000 as advances against later royalties.
Investigators found that Diallo had been issued a business license under multiple trade names, and that she was promoting the sale of her book, "In Full Color," along with the sale of her art, soaps, and handmade dolls.
A subpoena of Diallo's self-employment records was issued, which included copies of her bank statements from September 1, 2015 to present. The records showed she had not reported her self-employment income to the Department.
Diallo's banks statements showed over $83,000 had been deposited into her U.S. bank account between August 2015 and August 2017.
Her failure to report her income resulted in a Food and Childcare Assistance overpayment of $8,847.
She will be arraigned on the charges on June 6.
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