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WASHINGTON, D.C. (WUSA) - Keely E. Thompson Jr., executive director of Keely's District Boxing and Youth Center, and his wife, Bianca Thompson, the center's deputy director, were indicted on Friday on federal charges, according to U.S. Attorney Ronald C. Machen.

The Thompsons, both of Accokeek, Md., were indicted on 31 counts that allege they conspired to use both private and District of Columbia grantfunds for their own personal entertainment and services, rather than for the funds' intended use on youth programs.

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Keely Thompson, 47, and Bianca Thompson, 42, were indicted by a grand jury in the U.S. District Court for the District of Columbia. The indictment includes charges of conspiracy to commit wire fraud, wire fraud, and related charges. It also includes a forfeiture allegation seeking all proceeds that can be traced to the scheme.

According to the indictment, Keely's District Boxing and Youth Center was a non-profit organization with locations in Northwest and Northeast Washington. The operations were funded with grant money. The organization received more than $1.5 million in government and private funding between 2004 and 2010. The money was to be used to provide youth development and physical fitness programs to at-risk children living in the District of Columbia.

"Instead, the Thompsons allegedly used much of it for personal goods, entertainment and services, including over $100,000 for gambling at Bally's Casino in Atlantic City, and on board a Norwegian Cruise Line, as well as on vehicle leases on a BMW 525i and Lincoln Navigator, furniture for their home, and various other personal items," officials said.

According to court documents, the Thompsons also issued themselves over $100,000 in handwritten checks from the charitable company's bank account with no accounting records or receipts. They also are accused of spending over $135,000 on a 2009 fundraiser at a District hotel that raised approximately $23,000 for the charitable company.

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