Commerce Connection: How Lisa Brown funded fraud
Posted 14 September 2023
This post introduces a series of funding fiasco stories created by Lisa Brown while director of the WA Department of Commerce. Our Washington Auditor has identified over half-a-billion dollars in likely improper federal payments by Commerce under Brown.
Candidate for Spokane Mayor, Lisa Brown quit her political patronage appointment as director of WA Department of Commerce earlier this year. The high-paying job was Governor Inslee’s consolation prize parting-gift to Brown after she lost her bid for congress in 2018 in spectacular fashion, achieving a ten-percentage point loss to Cathy McMorris-Rodgers.
At her campaign announcement for Spokane Mayor, Lisa Brown touted her fiscal prowess and directing of federal funds to Spokane and other communities through her agency. She continues to sing that song, promising millions of dollars through her continued connections to Commerce. But, are her tax-transfers a Trojan Horse of terrible decisions?
We applaud Washington’s Attorney General for beginning to get to the bottom of Lisa Brown’s egregious failure to perform required risk assessments before handing out our money.
You might want to bookmark this document.
In a December 2020 press release, Lisa Brown promoted her “Washington State’s Equity Relief Fund” promising,
“It is imperative that we step up to support these trusted and much-needed organizations operated by and serving BIPOC communities.” - Lisa Brown, Director of WA Dept of Commerce
One of Brown’s “trusted” recipients receiving $50,000 in taxpayer money was “Southwest Washington Communities United for Change” through “The Noble Foundation.”
The day before yesterday, WA Attorney General Bob Ferguson announced a lawsuit against Brown’s favored “philanthropy.” Ferguson’s press release, “AG Ferguson files lawsuit against founder of Vancouver charity for misusing more than $1.2 million meant to serve BIPOC communities” includes,
”As public attention focused more sharply on racial justice and policing issues, the [Noble] foundation created Southwest Washington Communities United for Change, a tax-exempt social welfare organization. Southwest purportedly focused on organizing protests and trying to increase participation and political representation for BIPOC communities in Clark and Cowlitz counties. Southwest brought in several hundred thousand dollars from grantors interested in establishing a BIPOC-led political organization serving Southwest Washington.”
“The Attorney General’s investigation revealed that Noble and her family received direct, documented payments or benefits of nearly $1 million. Some examples:
In July 2021, Noble caused the foundation and Southwest to pay her $355,000 in “back pay,” for “contract services” purportedly provided between 2015 and 2021. There is no evidence that any contracts existed, any money was owed, or that these payments were approved by the entities’ boards.
EDITOR’S NOTE: Sounding Familiar?
The foundation paid Noble’s consulting company $310,000 for unspecified “executive director services” that were never approved by the board.
$200,000 was either withdrawn from the various foundation entities’ bank accounts without explanation or issued to unknown individuals in the form of cashier’s checks. Only Noble and the directors were authorized signers on these accounts.
In 2020, Noble directed the foundation to purchase her father’s house for approximately $200,000, but she put her name on the deed as well as the foundation’s. The following year, she paid the foundation $100,000 for its interest in the home. When the foundation transferred title to Noble in 2022, the house was worth at least $324,000, meaning Noble gained $224,000 in equity. There is no evidence the foundation’s board reviewed and approved these transactions, which were clearly a conflict of interest for Noble.
In 2020, Noble used foundation money to purchase a 2019 Nissan Armada, which she used as her personal vehicle. She used foundation funds to make upgrades to the vehicle and cover maintenance and gas. The foundation also purchased a second vehicle, which Noble later transferred to her mother.
Noble, her family, and other directors used foundation money to fund over $65,000 in additional purchases that lack a clear connection to the entities’ charitable purposes, including for gift cards, meals, groceries, gas, travel, cell phones, personal clothing, and even alcohol and cigarettes.“
We hope that AG Ferguson has been watching Spokane news as this should cause his team to get OntheBall and investigate Lisa Brown’s $1.5 million dollars of our money given to “Jewels Helping Hands!”