The former chairman of the Chehalis Tribal Housing Authority Board was sentenced Monday in U.S. District Court in Tacoma to 30 days in jail, two years of supervised release and $37,400 in restitution for stealing from the tribe’s housing program, according to the U.S. Attorney’s Office.
Hector Ray Canales Sr., 55, pleaded guilty in May to “conversion of tribal funds.” At his sentencing Monday, U.S. District Court Judge Ronald B. Leighton said Canales betrayed the trust of his tribe, according to the U.S. Attorney’s Office.
In 2009, Canales reportedly applied for down payment assistance from the Chehalis Tribal Housing Authority when he did not qualify for the assistance because he already owned a home.
According to the U.S. Attorney’s Office, Canales “engaged in a sham transaction to transfer his existing ownership to a relative so that he could collect $37,400 from the down payment assistance program which he used to pay for a second home in the Chehalis Area.”
According to the U.S. Attorney’s Office, Canales’ actions meant other eligible tribal members did not get down payment assistance.
“Canales used his position in the tribe and his knowledge of the internal fiscal controls to illegally collect the down payment funds,” stated a release from the U.S. Attorney’s Office.
Canales has since paid back $24,000 to the tribe.
