NewsMacroFlorida Grand Jury Finds DeSantis Administration 'Misappropriated' $10 Million Meant for Poor Children

Florida Grand Jury Finds DeSantis Administration 'Misappropriated' $10 Million Meant for Poor Children

Author: Fortune Crypto·

Key Takeaways

  • •The Leon County grand jury said $10 million in taxpayer money was misappropriated, but it found insufficient evidence to bring criminal charges.
  • •The report said the funds were diverted from a Medicaid settlement to Hope Florida and then to political committees that fought Amendment 3, Florida’s 2024 marijuana ballot measure.
  • •The grand jury said it could not identify who authorized the transfer because no one took responsibility or remembered who made the decision.
  • •The report identified then-chief of staff James Uthmeier as being in a position of authority and said his Keep Florida Clean PAC was the main recipient of the money.
  • •Democratic gubernatorial nominee David Jolly called for the probe to be reopened, while DeSantis and his allies denied wrongdoing and criticized the leak of the sealed report.
Florida Grand Jury Finds DeSantis Administration 'Misappropriated' $10 Million Meant for Poor Children

A Florida grand jury has concluded that the administration of Republican Gov. Ron DeSantis "misappropriated" $10 million in taxpayer money that was diverted to a charity connected to his wife, but it declined to file criminal charges, citing a lack of evidence indicating who specifically was responsible.

DeSantis on Thursday did not dispute the legitimacy of the secret grand jury report, which was obtained and published online by CBS News Miami. He insisted that no laws were broken and said whoever leaked the sealed documents would face "consequences."

The Leon County grand jury completed its report in January following its investigation into Hope Florida, the charity started in 2021 by Florida first lady Casey DeSantis. The document remained sealed until this week, and its surfacing now — with the governorship, a U.S. Senate seat and the attorney general's office all on the November ballot — has turned the long-dormant findings into a late-stage campaign issue. Although no charges were brought, the report has sparked a new round of criticism aimed at DeSantis and other top state Republicans over the charity's receipt of $10 million from a state Medicaid settlement intended to help poor children obtain health insurance.

David Jolly, the Democratic nominee for governor, called for the grand jury probe to be reopened. He faces Republican Byron Donalds in November in the race to succeed DeSantis, who under Florida law cannot seek a third term.

Hope Florida is supposed to help financially struggling families connect with churches and aid groups so they can stay off publicly financed assistance programs. Instead, the $10 million was moved to political action committees, which used the money to oppose a 2024 statewide ballot measure, Amendment 3, that would have legalized marijuana for adults in Florida. DeSantis opposed the measure, which drew majority support but fell just short of the 60% supermajority Florida requires to amend its constitution.

"Despite our finding that the money was misappropriated, we find insufficient evidence to charge anyone criminally," the report concluded.

The grand jury said no one would take responsibility for sending the money to the charity, and no one had any memory of who did.

"We recognize that this would be an impediment to criminal prosecution," the report noted. "While we can't prove who is responsible, we can plainly see that taxpayer money was misused for political purposes and we would like to see changes made to prevent this from happening again."

The report concluded that James Uthmeier, who was DeSantis' chief of staff at the time, "was in a position of authority over those involved in settling," and that his Keep Florida Clean PAC was the prime recipient of the $10 million. The grand jury also said the office of then-state Attorney General Ashley Moody knew of the plans to divert the money. Moody was later appointed by DeSantis to the U.S. Senate; Uthmeier succeeded her as attorney general, and both are seeking reelection in November.

At a news conference Thursday, Uthmeier suggested Democrats were behind the leak of the grand jury report and called renewed interest in its findings "a politically motivated hoax."

In a post on X on Thursday, Moody said her office was only one of several agencies that signed off on the initial settlement, and "had no knowledge of how funds would be spent" by Hope Florida, state lawmakers, or any other group.

The fallout could now proceed along several tracks: Jolly's push to reopen the investigation, the grand jury's request that "changes" be made — a task that would fall to the state's Republican-led Legislature — and whatever "consequences" DeSantis has promised for whoever leaked the sealed report.

Source: Fortune