Delta Sigma Theta Exec & Hubby Jailed for $228K Fraud

WASHINGTON D.C. – A former leader within a prominent national sorority and her husband are headed to federal prison after admitting to a brazen scheme to siphon over $228,000 from the organization’s coffers. Jeanine Henderson Arnett, 44, formerly the Executive Director of Delta Sigma Theta Sorority, Inc., and her husband, Diallo Arnett, 47, of Purcellville, VA, received their sentences on November 23, 2021, in U.S. District Court for the District of Columbia.

Jeanine Arnett was slapped with a 16-month prison term, while Diallo Arnett will serve 12 months and a day. Both will face five years of supervised release after they complete their sentences. The couple was also ordered to cough up $228,357 in restitution – attempting to repay the money they stole – and an identical amount as a forfeiture money judgment. The sentencing comes after both pleaded guilty in April 2021, finally admitting to the years-long fraud.

According to court documents, Jeanine Arnett exploited her position at Delta Sigma Theta Sorority, Inc., a charitable organization dedicated to community service, to enrich herself and her husband. Between October 3, 2017, and September 15, 2019, she systematically misappropriated funds using a variety of methods, including ACH money transfers and fraudulent credit card transactions. The Arnetts didn’t limit themselves to large purchases; the scheme included everyday expenses like items from Amazon, car rentals from Avis, and even bills from GEICO and T-Mobile.

Investigators detailed how the couple also utilized the Square Cash App to funnel $14,162.50 into their personal account through nine separate transactions. Delta Sigma Theta discovered the financial irregularities in September 2019, a month after terminating Jeanine Henderson’s employment. A full criminal investigation by the FBI’s Washington Field Office quickly followed, uncovering the extent of the theft. The sorority, known for its work addressing food insecurity, domestic violence, and educational needs, was left to pick up the pieces of the financial damage.

U.S. Attorney Matthew M. Graves and FBI Special Agent in Charge Wayne A. Jacobs announced the sentencing, praising the diligent work of the FBI agents and the Assistant U.S. Attorneys Joshua Rothstein and David Kent, who built the case and secured the convictions. Former Paralegal Specialist Angeline Thekkumthala also received a commendation for her contributions to the investigation. This case serves as a stark reminder that even those in positions of trust within respected organizations are not immune to prosecution when they cross the line into criminal activity.

The Arnetts’ scheme represents a betrayal of the trust placed in them by Delta Sigma Theta Sorority, Inc., and its members. While restitution has been ordered, the damage to the organization’s reputation and the financial strain caused by the embezzlement will likely be felt for some time. This case underscores the importance of robust internal controls and vigilant oversight within non-profit organizations to prevent similar abuses in the future.