Veterans defend nonprofit exec accused of theft

Hardin County veterans are rallying to support an embattled nonprofit leader accused of theft.

Carlos Fernandez, 65, and Patricia Parrott, 60, were indicted in mid-November for theft by unlawful taking or disposition of property – worth more than $10,000 but less than $1 million.

Matthew Smith, owner/home inspector of two Veterans Inspections, said that he's frustrated and deeply concerned by the charge -- especially because it could erode public trust and affect veterans.

"I absolutely do not believe Carlos Fernandez or Patricia Parrott stole money from veterans. Every dollar Carlos received, to my knowledge, was voluntarily donated," Smith said. "Donations are not theft. Hundreds of veterans have come forward publicly in support of Carlos, which speaks volumes about his character and the way he operated."

Smith said he met Fernandez after the nonprofit helped three of his employees with their VA disability claims.

"All three claims were approved. He never asked for money, compensation, or donations from me or my employees. At the time I met him, my interaction with Carlos was about helping veterans understand the VA claims process—not about C&P Garage," Smith said. "Carlos is one of the most kind, generous, and giving people I've ever met. He would help anyone he could, especially veterans. I have personally seen him provide food, support, and assistance to veterans who were struggling, without expecting anything in return."

According to Smith, Fernandez never stole money because it was donated willingly to him.

"Carlos helped veterans understand how to properly fill out VA claim forms and how to correctly word and phrase their claims. He did not submit claims to the VA on their behalf. Veterans were responsible for gathering their own documents, choosing what disabilities to claim, reviewing the paperwork, signing it and mailing it themselves," Smith said. "From what I observed, everything was transparent and voluntary. I can't speak to every detail of the case involving Parrott but I strongly believe Carlos's actions toward veterans have been mischaracterized."

During arraignment for Fernandez in late December, his attorney mentioned that Fernandez had a gambling issue.

If Carlos had a gambling issue, that is his personal business, Smith said.

"If he chose to gamble with money that I donated, that is completely fine with me, the money was his once it was donated," Smith said. "Personal behavior does not equal criminal behavior. Again, all of his income, to my knowledge, came from voluntary donations."

While Fernandez's case makes its way through the court system, Smith said he wants the public to understand how helpful Fernandez has been to not just local veterans but veterans around the world.

"His name is well known throughout the active-duty and veteran community. If a veteran needed help understanding the VA claims process, Carlos was widely known as someone you could go to for help," Smith said. "I hope the public keeps an open mind and allows the legal process to determine the facts. Veterans know who Carlos is and what he's done for them. That collective experience shouldn't be ignored. I also hope this situation doesn't discourage veterans from seeking help navigating the VA system, it's complicated, and veterans deserve support, not fear."

According to Jeff Kennedy, a veteran in Radcliff, many veterans in the area don't believe the accusations against Fernandez and Parrott.

"I do not believe Carlos stole money from veterans while working at C&P Garage. Any individual leaving the military has the legal right to start either a for-profit or nonprofit organization," Kennedy said. "When donations are made, donors expect leadership to use those funds to support operations, whether that means supplies, food, equipment, bills, or honoring volunteers, based on responsible judgment."

Kennedy said what concerns him the most is the inflamed language used in Fernandez's case.

"Initially, the public was told the amount in question was $135,000. That figure later dropped to $35,000. That is a significant reduction, and it raises reasonable questions about the accuracy of the original claims," Kennedy said. "Before I became publicly involved in supporting Carlos and C&P Garage, I personally asked him to show me his financial records. He did. To my knowledge, no one else took the time to speak directly with him or review the facts before drawing conclusions."

Kennedy met Fernandez after he was referred to him to try and receive his veteran benefits, despite working with state and certified agencies.

"I met him through C&P Garage. In less than a year and a half, with his guidance, I was finally awarded 100% of my veteran benefits," Kennedy said. "That outcome changed my life. Carlos is a sincere business owner, a veteran-focused advocate and a family man who genuinely cares about veterans, homeless veterans, and surviving spouses. He and his team assist veterans with financial and survivor benefit claims at no cost, driven by service rather than profit."

Kennedy said he stands with Fernandez because he has witnessed more than 25 years of volunteer service to veterans and their families.

"I've seen Carlos work from noon until 9 or 10 o'clock at night, followed by daily after-action reviews to assess how they could better serve people. I've watched him work with veterans across the United States and overseas—often online, late at night, and on weekends," Kennedy said. "I personally referred seven veterans to Carlos and C&P Garage, some homeless, some who had lost spouses and some living outside Kentucky. Carlos worked with them tirelessly, including weekends, long after normal business hours."

According to Kennedy, Parrott resigned from C&P Garage in May.

Kennedy said that the gambling issue brought up in court is a matter between Fernandez and his attorney.

"In my opinion, that statement was used as inflamed language to publicly discredit and embarrass Carlos. Based on the time I've personally tracked—his long hours, weekend work and commitment to veterans," Kennedy said. "I believe that reference was intended to damage his character rather than present relevant facts."

Fernandez is constantly working, helping homeless veterans, supporting surviving spouses, ensuring bills are paid, and making sure the volunteers and C&P Garage provide accurate, timely information, Kennedy said.