District of Columbia
Judge postpones decision on whether Corado should be held while awaiting trial
Former Casa Ruby director charged with bank fraud, money laundering
A United States District Court Judge on Friday postponed a decision on whether Ruby Corado, 53, the founder and former executive director of Casa Ruby, should be held in custody while she awaits a trial following her arrest on March 5 on multiple charges related to allegations that she embezzled at least $150,000 from Casa Ruby.
The decision by U.S. District Court Magistrate Judge Robin M. Meriweather to postpone this decision came during a dramatic detention hearing in which Corado’s court appointed Federal Public Defender Service attorney and the lead prosecutor with the Office of the U.S. Attorney for D.C. presented opposing arguments over whether Corado should be held in custody or released while awaiting trial.
Meriweather said she needed more information about a proposal by defense attorney Diane Shrewsbury that Corado, if released, could be placed in the custody of a family member in Maryland. The judge ordered that the detention hearing would resume on Tuesday, March 12, when she expects to issue her final ruling.
The judge ordered that Corado, who has been held in custody since her arrest on March 5, remain in custody until at least the Tuesday hearing.
The Friday hearing came one day after prosecutors with the U.S. Attorney’s Office filed a 12-page Memorandum In Support of Pretrial Detention that called for Corado to be detained on grounds that chances are significant that she would flee to El Salvador if she were to be released.
“Defendant Ruby Corado poses a unique and serious flight risk,” the prosecutors’ memorandum states.
It points out that the charges pending against her include Bank Fraud, Wire Fraud, Laundering of Monetary Instruments, Transportation with Criminally Derived Proceeds, and Failure to File Report of Foreign Bank Account – all related to allegations that she embezzled funds from Casa Ruby that came from at least two federal COVID pandemic relief programs.
The memorandum also states that Corado fled to El Salvador in 2022 shortly after news media reports surfaced that she was being investigated for financial improprieties and the Office of the D.C. Attorney General filed civil charges against her for alleged violations of the DC Nonprofit Corporations Act.
The March 7 memo says prosecutors believe Corado fled to El Salvador in 2022 knowing she would face criminal charges related to absconding with Casa Ruby funds.
“On February 25, 2024, the defendant returned to the United States from El Salvador,” the prosecutors’ memorandum says. “Law enforcement promptly sought the instant arrest warrant for the defendant, which this Court issued on March 1, 2024,” it says.
“On March 5, 2024, the defendant was arrested on that warrant in a hotel located in Laurel, Maryland. The defendant was alone at the hotel,” it says. “At the time of the arrest, the defendant was in possession of a passport issued by the Republic of El Salvador which had been issued on February 23, 2024.”
Prosecutors have not disclosed whether they know why Corado returned to the U.S. and how the FBI, which is leading the investigation that led to Corado’s arrest, learned of her return and her lodging at the hotel in Laurel, Md.
“Today, the defendant owns no property – not even a vehicle – in the United States,” the memorandum continues. “The defendant has no employment or other source of income,” it says, adding that Corado maintains citizenship in El Salvador. “She has bank accounts of unknown balances in El Salvador which she has failed to disclose to the U.S. government,” it says.
“And her spouse lives and works in El Salvador. The Court simply cannot be confident that the defendant will not flee the country again should the Court release her pending trial,” the memorandum concludes.
But in a court motion she filed on Friday and in her arguments at the Friday hearing, defense attorney Shrewsbury disputed the prosecutors’ claims, saying Corado would absolutely not be a flight risk. Shrewsbury disclosed that Corado returned to the U.S. last week with the intention of remaining in the D.C. area, where she has lived for at least 35 years.
The attorney said Corado came back to the D.C. area to take a job, the details of which Shrewsbury did not disclose. But the attorney said Corado has long standing family ties and many friends in the D.C. area and very much wants to fight the charges against her in court.
One more reason for releasing Corado from jail while she awaits trial is that she has been currently placed in the D.C. Jail’s male residential section under rules, according to Shrewsbury, that require inmates to be placed in a residential section based on their birth gender. This placement has endangered Corado’s safety, the attorney’s court document says.
Corado identifies as a transgender woman and for many years since founding Casa Ruby became known as an outspoken and admired advocate for LGBTQ rights. Under her leadership, Casa Ruby, as a nonprofit organization, among other things, provided transitional housing and related support services to LGBTQ youth with an outreach to transgender women of color.
However, local transgender rights advocates Earline Budd and Jeri Hughes told the Washington Blade the D.C. Jail has changed its policy and now allows transgender inmates to choose which section of the jail they prefer to be placed. Budd and Hughes, who are members of a special jail committee that reviews placement of trans inmates, said Corado was scheduled to come before the committee on Monday, March 11, to present her preferences on where to be placed.
An arrest affidavit filed in court on March 6 says the federal charges pending against Corado came about after FBI investigators learned that Corado received through Casa Ruby more than $1.3 million over a two-year period from the federal Paycheck Protection Program and the Economic Injury Disaster Loan program. Both were COVID-19 pandemic related programs.
The arrest affidavit says she allegedly stole at least $150,000 of those funds by transferring the money to bank accounts she held in El Salvador that she opened under her birth name.
Casa Ruby shut down its operations in July 2022 after Corado’s departure to El Salvador and after it failed to pay its employees and was being evicted from its headquarters building and several of its other properties for failing to pay rent.
District of Columbia
Reasons to be optimistic about 2026
Local thought leaders offer hope for the New Year
It was a year like no other. It began with Donald Trump’s inauguration in January 2025 and included a takeover of D.C. police, ICE raids, challenges for the local economy, and other events that have many queer Washingtonians ready for 2026.
As we prepare to welcome the New Year, the Blade asked a range of local thought leaders about what makes them optimistic for 2026. Here are their responses.
June Crenshaw
Deputy Director, Capital Pride Alliance
What gives me optimism for 2026 is the way our LGBTQIA2S+ community supports one another – across identities, neighborhoods, and movements – and because we continue to build our collective powers; we demand and create safer, more inclusive spaces.
Zachary Parker
Ward 5 DC. Council member
I’m optimistic about the upcoming elections and the District’s continued fight for local autonomy. One thing I know for sure is that Washingtonians are tough and persistent, and we’re ready to face any challenge as we keep fighting for D.C. statehood.
Sister Jeannine Gramick
Co-founder of LGBTQ supportive New Ways Ministry
As a nun who thinks politically about the Catholic Church, I’m extremely optimistic that Pope Leo XIV will continue to welcome LGBTQ people. At the conclave, most cardinals knew Pope Francis had (then) Cardinal Proost in mind!
Adam Ebbin
Virginia State Senator representing parts of Arlington, Alexandria, and Fairfax Counties
I am excited about 2026 bringing the return of the pro-equality governor to Virginia. I believe that Abigail Spanberger will be a champion for LGBT people and it will also be the year that we can finally pass the necessary legislation to send a constitutional amendment to the voters that would guarantee marriage equality in the Virginia Constitution.
Howard Garrett
President, Capital Stonewall Democrats
In 2026, our community can be optimistic because we’ve proven, again and again, that when we organize, we win: at the ballot box, in the courts, and in our neighborhoods. Even amid challenge, LGBTQ+ Washingtonians and our allies are building stronger coalitions, electing champions, and advancing real protections that make daily life safer and more affirming for everyone.
Paul Kuntzler
D.C. LGBTQ activist since the early 1960s, co-founder of Capital Stonewall Democrats
Last Nov. 4, 11 states held elections and Democrats won almost all of the elections. Next Nov. 3, 2026, Democrats will win control of both the House and Senate …An Economist poll reported that 15 percent to 20 percent of those who voted for Trump no longer support him. The results of the elections of Nov. 3, 2026, will be the beginning of the end of Trump and his racist and criminal regime.
Kelley Robinson
President, Human Rights Campaign
This past year has brought relentless attacks against the LGBTQ+ community, but it has also shown the resiliency of queer folks. While this administration has worked tirelessly to oppress us, we’ve met that oppression with courage. As we step into 2026, my hope is that we carry that energy forward and continue protecting one another, fighting back against injustice, and celebrating queer joy. If 2026 is anything like 2025, we know the challenges will be intense, but our community is more determined than ever to meet hate with resilience, and to turn struggle into strength.
Freddie Lutz
Owner, Freddie’s Beach Bar in Arlington and Rehoboth Beach
I am optimistic that the current president will fulfill his promise to boost the economy. We are all suffering – businesses in D.C. I just read it is 17 to 18 percent down. And I’m hoping the president will boost the economy. I always try to remain optimistic.
Nicholas F. Benton
Owner & Editor, Falls Church News-Press
My optimism stems from my belief in the human capacity and generosity of spirit. Those who are committed to those qualities will find a way.
Richard Rosendall
Former president, D.C. Gay & Lesbian Activists Alliance
MAGA efforts to demonize LGBTQ people are dangerous but will fail overall because understanding and acceptance have grown and endured. The blue wave in November 2026 will show this.
TJ Flavell
Organizer, Go Gay DC
Hope springs eternal. Nurturing your own wellness is vital to the New Year, including enjoying social and cultural activities through such groups as Go Gay DC – Metro DC’s LGBTQ Community. Also, 2026 ushers in a new tax deduction for charitable giving. Check the IRS website for details. You can make a positive impact in the New Year by supporting good charitable causes like the D.C. LGBTQ+ Community Center, a safe, inclusive, and affirming space where all members of our community can thrive.
Rayceen Pendarvis
Leader of Team Rayceen D.C. LGBTQ support organization
I have experienced many trials and tribulations in my lifetime, throughout which my spirit has enabled me to find peace despite the turbulence around me. Being optimistic allows me to be a beacon of light for those who may be lost in the darkness.
Zar
Team Rayceen organizer
My reason for optimism is this: death. Life is a cycle of time, change, and destruction. Everything is impermanent; the time any person rules is finite and eventually all empires end.
DJ Honey
Team Rayceen supporter
Despite the noise, I see 2026 as a year where queer people continue choosing community over isolation. Even when challenged, our culture keeps evolving. We are more visible, more creative and intentional about building spaces that protect each other and center joy without asking permission.
Nick Tsusaki
Owner, Spark Social House, D.C. LGBTQ café and bar
I’m optimistic for 2026 because it feels like the tide is turning and we’re coming together as a community.
District of Columbia
Rush reopens after renewing suspended liquor license
Principal owner says he’s working to resolve payroll issue for unpaid staff
The D.C. LGBTQ bar and nightclub Rush reopened and was serving drinks to customers on Saturday night, Dec. 20, under a renewed liquor license three days after the city’s Alcoholic Beverage and Cannabis Board suspended the license on grounds that Rush failed to pay a required annual licensing fee.
In its Dec. 17 order suspending the Rush liquor license the ABC Board stated the “payment check was returned unpaid and alternative payment was not submitted.”
Jackson Mosley, Rush’s principal owner, says in a statement posted on the Rush website that the check did not “bounce,” as rumors circulating in the community have claimed. He said a decision was made to put a “hold” on the check so that Rush could change its initial decision to submit a payment for the license for three years and instead to pay a lower price for a one-year payment.
“Various fees and fines were added to the amount, making it necessary to replace the stop-payment check in person – a deadline that was Wednesday despite my attempts to delay it due to these circumstances,” Mosley states in his message.
He told the Washington Blade in an interview inside Rush on Saturday night, Dec. 20, that the Alcoholic Beverage and Cannabis Administration (ABCA) quickly processed Rush’s liquor license renewal following his visit to submit a new check.
He also reiterated in the interview some of the details he explained in his Rush website statement regarding a payroll problem that resulted in his employees not being paid for their first month’s work at Rush, which was scheduled to take place Dec. 15 through a direct deposit into the employees’ bank accounts.
Several employees set up a GoFundMe appeal in which they stated they “showed up, worked hard, and were left unpaid after contributing their time, labor, and professional skills to Rush, D.C.’s newest LGBTQ bar.”
In his website statement Mosley says employees were not paid because of a “tax related mismatch between federal and District records,” which, among other things, involves the IRS. He said the IRS was using his former company legal name Green Zebra LLC while D.C. officials are using his current company legal name Rainbow Zebra LLC.
“This discrepancy triggered a compliance hold within our payroll system,” he says in his statement. “The moment I became aware of the issue, I immediately engaged our payroll provider and began working to resolve it,” he wrote.
He added that while he is the founder and CEO of Rush’s parent and management company called Momentux, company investors play a role in making various decisions, and that the investors rather than he control a “syndicated treasury account” that funds and operates the payroll system.
He told the Blade that he and others involved with the company were working hard to resolve the payroll problem as soon as possible.
“Every employee – past or present – will receive the pay they are owed in accordance with D.C. and federal law,” he says in his statement. “That remains my priority.”
In a follow-up text message to the Blade on Sunday night, Dec. 21, Mosley said, “All performers, DJs, etc. have been fully paid.”
He said Rush had 21 employees but “2 were let go for gross misconduct, 2 were let go for misconduct, 1 for moral turpitude, 2 for performance concerns.” He added that all of the remaining 14 employees have returned to work at the time of the reopening on Dec. 20.
Rush held its grand opening on Dec. 5 on the second and third floors of a building at 2001 14th Street, N.W., with its entrance around the corner on U Street next to the existing LGBTQ dance club Bunker.
With at least a half dozen or more LGBTQ bars located within walking distance of Rush in the U Street entertainment corridor, Mosley told the Blade he believes some of the competing LGBTQ bars, which he says believe Rush will take away their customers, may be responsible along with former employees of “rumors” disparaging him and Rush.
District of Columbia
New queer bar Rush beset by troubles; liquor license suspended
Staff claim they haven’t been paid, turn to GoFundMe as holidays approach
The D.C. Alcoholic Beverage and Cannabis Board on Dec. 17 issued an order suspending the liquor license for the recently opened LGBTQ bar and nightclub Rush on grounds that it failed to pay a required annual licensing fee.
Rush held its grand opening on Dec. 5 on the second and third floors of a building at 2001 14 Street, N.W., with its entrance around the corner on U Street next to the existing LGBTQ dance club Bunker.
It describes itself on its website as offering “art-pop aesthetics, high-energy nights” in a space that “celebrates queer culture without holding back.” It includes a large dance floor and a lounge area with sofas and chairs.
Jackson Mosley, Rush’s principal owner, did not immediately respond to a phone message from the Washington Blade seeking his comment on the license suspension.
The ABC Board’s order states, “The basis for this Order is that a review of the Board’s official records by the Alcoholic Beverage and Cannabis Administration (ABCA) has determined that the Respondent’s renewal payment check was returned unpaid and alternative payment was not submitted.”
The three-page order adds, “Notwithstanding ABCA’s efforts to notify the Respondent of the renewal payment check return, the Respondent failed to pay the license fee for the period of 2025 to 2026 for its Retailer’s Class CT license. Therefore, the Respondent’s license has been SUSPENDED until the Respondent pays the license fees and the $50.00 per day fine imposed by the Board for late payment.”
ABCA spokesperson Mary McNamara told the Blade that the check from Rush that was returned without payment was for $12,687, which she said was based on Rush’s decision to pay the license fee for four years. She said that for Rush to get its liquor license reinstated it must now pay $3,819 for a one-year license fee plus a $100 bounced check fee, a $750 late fee, and $230 transfer fee, at a total of $4,919 due.
Under D.C. law, bars, restaurants and other businesses that normally serve alcoholic beverages can remain open without a city liquor license as long as they do not sell or serve alcohol.
But D.C. drag performer John Marsh, who performs under the name Cake Pop and who is among the Rush employees, said Rush did not open on Wednesday, Dec. 17, the day the liquor board order was issued. He said that when it first opened, Rush limited its operating days from Wednesday through Sunday and was not open Mondays and Tuesdays.
Marsh also said none of the Rush employees received what was to be their first monthly salary payment on Dec. 15. He said approximately 20 employees set up a GoFundMe fundraising site to raise money to help sustain them during the holiday period after assuming they will not be paid.
He said he doubted that any of the employees would return to work in the unlikely case that Mosley would attempt to reopen Rush without serving liquor or if he were to pay the licensing fee to allow him to resume serving alcohol without having received their salary payment.
As if all that were not enough, Mosley would be facing yet another less serious problem related to the Rush policy of not accepting cash payments from customers and only accepting credit card payments. A D.C. law that went into effect Jan. 1, 2025, prohibits retail businesses such as restaurants and bars from not accepting cash payments.
A spokesperson for the D.C. Department of Licensing and Consumer Protection, which is in charge of enforcing that law, couldn’t immediately be reached to determine what the penalty is for a violation of the law requiring that type of business to accept cash payments.
The employee GoFundMe site, which includes messages from several of the employees, can be accessed here.
Mosley on Thursday responded to the reports about his business with a statement on the Rush website.
He claims that employees were not paid because of a “tax-related mismatch between federal and District records” and that some performers were later paid. He offers a convoluted explanation as to why payroll wasn’t processed after the tax issue was resolved, claiming the bank issued paper checks.
“After contacting our payroll provider and bank, it was determined that electronic funds had been halted overnight,” according to the statement. “The only parties capable of doing so were the managers of the outside investment syndicate that agreed to handle our stabilization over the course of the initial three months in business.”
Mosley further said he has not left the D.C. area and denounced “rumors” spread by a former employee. He disputes the ABCA assertion that the Rush liquor license was suspended due to a “bounced check.” Mosley ends his post by insisting that Rush will reopen, though he did not provide a reopening date.
