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In February of 2024 the Prescott Area Habitat for Humanity (PAHH) received an anonymous tip about the possible misuse of PAHH funds by staff. At that time, an internal investigation was launched which ultimately revealed evidence of a large-scale fraud. It was found that the fraud started in 2017 and continued until February of 2024. The primary subject involved in the fraud was identified as the Executive Director, Karen Northcutt, a 60-year-old female, Dewey resident. Prescott Area Habitat for Humanity Board Staff contacted the Prescott Police Department, reported the incident, and a lengthy criminal investigation ensued.
The criminal investigation revealed, to date, over $400,000 in PAHH funds were stolen by Northcutt. These funds were either taken as cash, deposited directly to Northcutt, or used to purchase personal items for Northcutt such as home remodels, appliances, veterinarian bills, vacations, food, recreational vehicles, personal legal fees, personal taxes, and a Conex box. During this same time period, Northcutt had also paid herself a raise which was not approved by the board.
On April 10th, 2024, the Prescott Police Department served a search warrant at Northcutt’s Dewey residence and ultimately seized numerous items related to the investigation. Northcutt was present at the time of the warrant and was arrested. Northcutt was booked into the Yavapai County Prescott Jail for the charges of fraudulent schemes and two counts of felony theft.
This investigation is still ongoing with the possibility of arrests being made on any other subjects involved. Anyone with information related to this incident is encouraged to contact the Prescott Police Department at 928-777-1900
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2 thoughts on “Suspect Arrested in Large Scale Fraud Investigation – Prescott Police Department”
Where did this person originate from?
Bets are out this isn’t the first time she pulled a scam.
I hope PPD looks outside of their little town for another scam she pulled.
I’ve been following this local non-profit since 2014 and am not surprised about this at all. Some may not agree with the following due to your political alignment, but this particular location has openly made various transparent comments when I have been present that they advocate for illegal immigrants and “are not concerned with anyone’s opinion otherwise” since they have awarded one or more of their homes to what they term as “undocumented”. Christine Mack has used the term “White Privilege” on many occasions in various group settings and public speaking events in mixed company. I understand that this may point toward corruption by one person in the organization; however may include other individual(s), but it is very disheartening that there was obviously no oversight in place to have prevented this terrible act of unethical behavior from the Executive Director of this location. There must be punishment that is due pending the results of the investigation and a forensic audit must be ordered along with a completely revamped accounting system and a new multi level system of oversight implemented. The Board Members need to also be held accountable, interviewed one by one by a third party organization or even possibly by the HFH Corporate office and potentially ordered to step down from the board if they understand that this should be part of the process of restoring any glimpse of hope for this non profit organization at least at this location. The worst part about this imo is that this location has a Faith piece to it’s transparency in the local community which will potentially compromise the faith of one or some. I really hope Christine Mack considers changing her approach to that since now this entity is connected to both corruption and faith all at once regardless if it may have only been an individual acting alone. Just terrible all around and I will be sending a similar follow up to the executives at their corporate location too. These are the brutal facts whether you agree or not.
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