By Staff Writer
The Independent Penn
Published: June 13, 2025
FAYETTE COUNTY, PA — What if the very organization tasked with reviving Fayette County’s economy was instead misusing the very funds it was entrusted to manage? That’s the disturbing question residents are asking as the Fay-Penn Economic Development Council finds itself in the crosshairs of criminal allegations, a whistleblower lawsuit, and growing public outrage.
The unraveling began with criminal charges against Melony Reed, Fay-Penn’s former finance director, who is now accused of using the organization’s credit cards for personal purchases and forging a signature on official documents. Reed, now facing counts of theft and forgery, has not gone quietly. She fired back with a whistleblower lawsuit, alleging she was wrongfully terminated for exposing serious internal misconduct—including conflicts of interest and improper loans using public funds.
And here’s where it gets serious.
State Representative Charity Grimm Krupa isn’t waiting for spin. She’s formally requested that the Pennsylvania Attorney General launch an independent investigation into Fay-Penn, citing “grave concerns about the potential misuse of taxpayer-funded loan programs.”
This is not a partisan squabble. This is a potential criminal enterprise operating under the banner of economic development, fueled by your tax dollars.
Let’s break it down.
- Fay-Penn receives public money. Millions in hotel tax revenue, local grants, and state and federal support—all meant to promote tourism, create jobs, and stimulate economic growth.
- A former finance director is now accused of stealing from that pot.
- That same director claims she was fired for trying to blow the whistle on a broader scheme.
- And now state officials are calling for an independent investigation.
If you’re not furious yet, you’re not paying attention.
Even more troubling is Fay-Penn’s response. Instead of full transparency, the organization issued a canned statement claiming they’ve “implemented enhanced internal controls” and that the alleged misconduct “has not affected day-to-day operations.” Translation? “Trust us, we’ve got it under control.”
But the public isn’t buying it. And they shouldn’t.
Because here’s the truth: Fay-Penn operates with little oversight and answers to no elected body, yet they’re handling millions in public funding. That’s a recipe for corruption—especially in a county where backroom deals have become all too familiar.
Let’s not forget—this isn’t the first time Fayette County residents have raised red flags about the use of hotel tax revenue. As we previously reported, $3.6 million was collected in 2023, yet only $1 million was awarded in grants. Where is the rest of that money?
And now, in the middle of that brewing storm, comes evidence of outright theft, forged documents, and internal retaliation. And still, the county commissioners—those who should be demanding accountability—have stayed silent.
Ask yourself: Why aren’t they calling for an audit? Why aren’t they demanding resignations? Why aren’t they standing with the taxpayers instead of covering for the insiders?
This is bigger than one finance director gone rogue. It’s a systemic failure of oversight. It’s a scandal that calls into question the entire relationship between Fay-Penn and the Fayette County government.
And here’s the bottom line: If millions in public funds can vanish under the guise of “economic development,” then we don’t have a government—we have a racket.
The people of Fayette County deserve answers. They deserve accountability. And they deserve leaders who are brave enough to demand both.
Because if this doesn’t trigger action from our commissioners, what will?
