Looks like saying "where is the fraud there is bound to be embezzling" is on the money again.
A director is not an owner who has any legitimate claim to funds they manage on behalf of the owner or the charity, quite the opposite, they have a legal fiduciary duty to act in the interests of the owner or the charitable purpose, not their own. If they funnel the company's money to themselves, that's outright fraud (or embezzlement, depending on details) and they deserve to be in jail and a civil claim to compensate for breach of fiduciary duty, there's nothing normal or tolerable about that.
They're not funneling money to themselves, they're funneling it to other charities that they work with.