No Halo News · Sourced development
Federal complaint alleges Big Blue Umbrella CEO misrepresented the charity and used grant money for personal expenses
Federal prosecutors charged CEO and executive director Donye Mitchell with wire fraud. The complaint alleges that Mitchell misrepresented Big Blue Umbrella’s operating experience to obtain a grant exceeding $1.2 million and later used disbursed funds for expenses including increased salary payments, credit-card debt, family transfers, rent, bail costs and video-game purchases. The grant administrator, Amity Foundation, had disbursed about $315,000 before terminating the contract in May 2025 over reported spending and performance concerns.
Status matters. This page records a sourced development, not a completed No Halo investigation. An allegation is not a finding. Dismissals, settlements, judgments, corrections and final outcomes remain distinct.
Donor relevance
Why this matters
The case raises questions about representations made during grant applications, executive spending, board oversight and controls over restricted public funds.
Attribution
Who reported or established this
The allegations were made by federal prosecutors in a criminal complaint announced by the U.S. Attorney’s Office for the Central District of California.
Evidence limits
What remains unverified
No Halo has not established that the allegations are true, how much of the grant was improperly spent, whether funds will be recovered, or whether other charity officials were involved. Mitchell is presumed innocent unless proven guilty.
Right of reply
Organization response
No response from Big Blue Umbrella or its board was located in the consulted government and independent reporting.
Classification
How No Halo records this event
Event type: Complaint. Current state: Open. No Halo preserves the current procedural state rather than treating every mention as a finding.
Published September 16, 2026 · Last verified September 17, 2026. See an error or a later outcome? Submit a correction or right of reply.