Reports

Ahmed Sary, age 45, of Baltimore, Maryland, pleaded guilty today to conspiracy to commit wire fraud affecting financial institutions, relating to the submission of more than $17.9 million in fraudulent CARES Act loan applications. The Coronavirus Aid, Relief, and Economic Security (“CARES”) Act was a federal law enacted in March 2020 to provide emergency financial assistance to Americans suffering from the economic effects caused by the COVID-19 pandemic.

The president of a Silicon Valley-based medical technology company was sentenced today to eight years in prison and ordered to pay $24 million in restitution for participating in a scheme to defraud investors and a scheme to commit health care fraud and pay illegal kickbacks in connection with the submission of over $77 million in claims for COVID-19 and allergy testing.

Tampa, FL – United States Attorney Roger B. Handberg announces the results achieved by the Middle District of Florida’s efforts to combat fraud related to COVID-19. Those efforts have included complementary actions by the United States Attorney’s Office’s (USAO-MDFL) Criminal, Asset Recovery, Appellate, and Civil Divisions, along with federal, state, and local law enforcement agencies.

A Riverside County man was sentenced today to 68 months in federal prison for orchestrating a scheme to obtain more than $2.1 million in pandemic-related unemployment insurance (UI) benefits by filing fraudulent applications claiming, among other things, that the claimants were salon and barbershop workers rendered jobless by the COVID-19 pandemic.

Jackson, Miss. – A Jackson man pleaded guilty to wire fraud in connection with his submission of a false COVID-19 Economic Injury Disaster Loan (EIDL) application.

Jeffrey Bearden, age 47, of Hagerstown, Maryland, pleaded guilty today to making a false statement on a loan application relating to the submission of fraudulent CARES Act loan applications. The Coronavirus Aid, Relief, and Economic Security (“CARES”) Act was a federal law enacted in March 2020 to provide emergency financial assistance to Americans suffering from the economic effects caused by the COVID-19 pandemic.

Paul Kwak has been sentenced for a multi-million-dollar fraud scheme related to a COVID relief program. Three co-conspirators were previously sentenced to prison as well.

LAS VEGAS – A Nevada man was sentenced yesterday to two years and four months in prison for fraudulently obtaining over $500,000 in Paycheck Protection Program (PPP) and Economic Injury Disaster Loan (EIDL) program loans that the Small Business Administration (SBA) guaranteed under the Coronavirus Aid, Relief, and Economic Security (CARES) Act, and then laundering the money through family, friends, and others.

U.S. Attorney Trini E. Ross announced today that Kenyatta Phipps, 47, of Rochester, NY, who was convicted of wire fraud, was sentenced to serve 24 months in prison and pay restitution totaling $376,747.23 by U.S. District Judge Frank P. Geraci, Jr.

The U.S. Attorney’s Office, together with federal and local law enforcement partners, announced today federal criminal charges as part of the Department of Justice’s ongoing initiative to prosecute fraud in connection with COVID-19 pandemic relief programs that offered assistance under the Coronavirus Aid, Relief, and Economic Security (CARES) Act, including the Paycheck Protection Program (PPP) and the Economic Injury Disaster Loan (EIDL) program, as well as other crimes relating to the pandemic.

A federal grand jury in the Western District of Tennessee returned an indictment yesterday charging 10 individuals for their roles in schemes to defraud the Economic Injury Disaster Loan (EIDL) program and the Paycheck Protection Program (PPP), federal stimulus programs authorized as part of the Coronavirus Aid, Relief, and Economic Security (CARES) Act.

NEWARK, N.J. – Two men and one woman of Middlesex County, New Jersey, have pleaded guilty on separate charges related to their roles in fraudulently obtaining over $2.1 million in federal Paycheck Protection Program (PPP) loans and Economic Injury Disaster Loans (EIDL).

CINCINNATI– A man who filed for relief under the Paycheck Protection Program and fraudulently claimed that he was running a business during the time he was incarcerated was sentenced in U.S. District Court today to 12 months and one day in prison.

Port Richey, Florida-based automotive management company Victory Automotive Group Inc. (VAG) has agreed to pay $9 million to resolve allegations that it violated the False Claims Act (FCA) by knowingly providing false information in support of a Paycheck Protection Program (PPP) loan forgiveness application it submitted.

Jaswinder Bhangoo, 50, of Bakersfield, pleaded guilty today to stealing $163,750 in COVID-19 relief money.

Nigerian nationals Quazeem Owolabi Adeyinka, 22, and Ayodeji Jonathan Sangode, 25, currently both residing in Maryland, were sentenced today to 26 months and 14 months in prison respectively for their roles a fraud conspiracy during the COVID-19 pandemic,

NEWARK, N.J. – A New York man and owner of a marketing company today admitted his role in conspiracies to commit health care fraud and to pay and receive illegal kickbacks.

Tampa, Florida – U.S. District Judge Mary S. Scriven has sentenced Alexander Lesczcynski (24, North Redington Beach) to 17 years and 6 months in federal prison for three different fraud schemes in which he attempted to obtain more than $10 million. The court furthered ordered Lesczcynski to forfeit the proceeds and facilitating property of the offense—$337,000—and ordered Lesczcynski to pay a total of $621,000 in restitution to the victims of the offenses.

A federal judge in Miami has sentenced Jonathan Grenon, 37, and Jordan Grenon, 29, to 151 months in prison, for conspiring to defraud the United States by distributing an unapproved and misbranded drug, and for contempt of court. Mark Grenon, 66, and Joseph Grenon, 36, were sentenced to 60 months in prison, the statutory maximum sentence for conspiring to defraud the United States by distributing an unapproved and misbranded drug.

ROBERT CARTER engaged in a scheme to fraudulently obtain more than $1 million in unemployment insurance funds during the Covid-19 pandemic.

A California woman pleaded guilty today to fraudulently submitting claims to governmental and private insurance programs during the COVID-19 pandemic for expensive and medically unnecessary respiratory pathogen panel (RPP) tests.

U.S. Attorney Trini E. Ross announced today that Michael Rech, 52, of North Chili, NY, who was convicted at trial of 37 counts of bank fraud, wire fraud, and money laundering, was sentenced to serve 57 months in prison by U.S. District Judge Charles J. Siragusa.

BOSTON – A Plymouth man was arrested today in connection with his alleged involvement in a scheme to fraudulently obtain and misuse COVID-19 relief funds from multiple assistance programs.

Mark X. Haley II, 43, was sentenced to 18 months in prison for a bank fraud scheme in which he filed fraudulent Paycheck Protection Program (PPP) loan applications and received over $1M in fraud proceeds. He was also ordered to pay $1,010,581 in restitution.

An Atlanta-area man has been sentenced to federal prison and ordered to pay nearly $300,000 in restitution after pleading guilty to siphoning money from a private individual’s bank account.

A San Fernando Valley man who was the leader of a conspiracy that stole more than $800,000 in COVID-19 jobless benefits has been sentenced to over eight years in federal prison.

The head of a multimillion-dollar COVID-19 relief fraud ring and six of his co-conspirators have been sentenced for fraudulently obtaining more than $20 million in forgivable Paycheck Protection Program (PPP) loans that the Small Business Administration (SBA) guaranteed under the Coronavirus Aid, Relief, and Economic Security (CARES) Act

The head of a multimillion-dollar COVID-19 relief fraud ring and six of his co-conspirators were sentenced for fraudulently obtaining more than $20 million in forgivable Paycheck Protection Program (PPP) loans that the Small Business Administration (SBA) guaranteed under the Coronavirus Aid, Relief, and Economic Security (CARES) Act.

A Georgia man has been sentenced to federal prison and ordered to pay substantial restitution for leading a conspiracy that stole nearly $2 million in COVID-19 small business relief funding.

Five Texas men have pleaded guilty to their participation in a scheme to fraudulently obtain and launder millions of dollars in forgivable Paycheck Protection Program (PPP) loans that the guaranteed by the Small Business Administration (SBA) guaranteed under the Coronavirus Aid, Relief, and Economic Security (CARES) Act.

Five Texas men pleaded guilty today to their participation in a scheme to fraudulently obtain and launder millions of dollars in forgivable Paycheck Protection Program (PPP) loans that the Small Business Administration (SBA) guaranteed under the Coronavirus Aid, Relief, and Economic Security (CARES) Act.

OKLAHOMA CITY – Earlier this week, BRIAN LEE FOSTER, 54, of Norman, Oklahoma, was sentenced to serve two years in prison for his role in a Coronavirus Aid, Relief, and Economic Security ("CARES") Act fraud scheme, announced U.S. Attorney Robert J. Troester.

A federal grand jury has charged a doctor who operated clinics in Westminster and Garden Grove with defrauding a COVID-19 program for uninsured patients by submitting more than a quarter billion dollars in claims – ultimately receiving about $150 million in payments – for services not covered under the program or simply not provided.

ANCHORAGE, Alaska – An Anchorage couple has been indicted by a federal grand jury for using their nonprofit, House of Transformations, and other corporate entities, as part of a scheme to fraudulently obtain millions of dollars in COVID-19 recovery funds.

Baltimore, Maryland – Reginald Alphonso Hopkins, age 52, of Prince George's County, Maryland, pleaded guilty today to the charge of conspiracy to commit wire fraud relating to the submission of fraudulent claims for the Paycheck Protection Program (“PPP”) benefits under the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act, enacted to provide emergency financial assistance to Americans suffering from the economic effects caused by the COVID-19 pandemic.

Joe Slaiby, of Gainesville, agreed to pay $350,000 to settle a civil fraud case that alleged he falsified payroll and income documents to obtain loans through the Small Business Administration’s (SBA) Paycheck Protection Program (PPP) for four businesses where he is the owner and President.

BOSTON – A former Massachusetts resident was sentenced today in connection with filing fraudulent applications to obtain $2.5 million in Paycheck Protection Program (PPP) loan funds made available under the Coronavirus Aid, Relief and Economic Security (CARES) Act.

Quinten Giovanni Moody, aka Christano Rossi, 39, of Dublin, was sentenced today to seven years in prison for aggravated identity theft, obstruction of justice, and conspiracy to distribute marijuana.

BOSTON – A Worcester man was sentenced today for fraudulently applying for business loans under the Coronavirus Aid, Relief, and Economic Security (CARES) Act, and then spending the money on personal expenses.

Ruben Mireles, 48, of Clovis, pleaded guilty today to stealing $1.4 million in COVID-19 relief money.

33-year-old Richmond man who operated a medical supply company in Porter has been ordered to federal prison for a massive fraud that resulted in losses of $17 million

ALBUQUERQUE, N.M. – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, Albert Childress, Special Agent in Charge, IRS Criminal Investigation, and Francisco B. Burrola, Special Agent in Charge of Homeland Security Investigations El Paso, announced today that Jacqueline Rascon-Chacon, Bryan Gardea, and Ricardo Landeros were indicted by a federal grand jury on charges of bank fraud, conspiracy to commit wire fraud, wire fraud, conspiracy to commit money laundering, and engaging in monetary transactions in property derived from specified unlawful activity.

SHARHABEEL SHREITEH, an accountant in Palos Hills, Ill., and TRACY MITCHELL, the owner of a business in Joliet, Ill., allegedly engaged in fraud related to the Paycheck Protection Program (PPP).

Mark Ethan Jermain received three loans totaling $730,550.

ANTRUM COSTON, 41, of New Haven, was sentenced yesterday by U.S. District Judge Stefan R. Underhill in Bridgeport to 37 months of imprisonment, followed by three years of supervised release, for fraud, money laundering, and drug offenses.

A California real estate developer was sentenced to federal prison today for using stolen identities to fraudulently obtain more than $1.3 million in loans intended to help small businesses during the COVID-19 pandemic.

Trashunda M. Harrison submitted a total of nine fraudulent applications for Paycheck Protection program loans.

OLIVIA L. BRYANT admitted in a plea agreement that in 2020 and 2021 she stole hundreds of pieces of mail from her route in Chicago’s Logan Square neighborhood.

NEW ORLEANS, LA – ALINE JAMES, a/k/a “Aline Foster” (“JAMES”), age 51, of New Orleans, Louisiana, pled guilty yesterday to Theft of Government Funds, a violation of Title 18, United States Code, Section 641, announced U.S. Attorney Duane A. Evans.

A federal grand jury has returned a superseding indictment charging Michael Cooley, Jr., a/k/a “Micheal Cooley Jr.,” “5Micmusik,” and “Michael White,” age 24, and Isiah Lewis, a/k/a “Zay,” age 33, both of Maryland; and “Alonzo Brown, age 26, of Virginia, for conspiracy to commit wire fraud and aggravated identity theft, relating to the submission of fraudulent claims for unemployment insurance (“UI”) benefits under the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act, enacted to provide emergency financial assistance to Americans suffering from the economic effects caused by the...

NEW ORLEANS – U.S. Attorney Duane A. Evans announced that TEMIKA SANTEMORE, age 43, a resident of Houston, Texas, pleaded guilty on September 12, 2023 before U.S. District Judge Jay C. Zainey to a two-count bill of information charging her with making false statements and theft of government funds related to the Coronavirus Aid, Relief, and Economic Security Act (CARES Act).

SPRINGFIELD, Ill. – A federal grand jury has returned indictments against 19 United States Postal Service employees and former employees, charging them with fraud related to the Paycheck Protection Program (PPP)

Ocala, Florida – United States Attorney Roger B. Handberg announces that Passion Lajodia Jackson (30, Ocala) has pleaded guilty to one count of wire fraud related to the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act. Jackson faces a maximum penalty of 20 years in federal prison and an order of forfeiture for at least $20,132, representing the proceeds obtained from the offense. A sentencing date has not yet been set.

Telvin Breaux, 32, an inmate at the California Correctional Institution in Tehachapi, pleaded guilty today to conspiracy and aggravated identity theft charges for leading a $25 million fraud against the California Employment Development Department (EDD) during the COVID-19 pandemic. Three of Breaux’s co-defendants, Fantasia Brown, 35, of Los Angeles, Shanice White, 29, of Hawthorne, and Holly White, 33, of Los Angeles, also pleaded guilty for their roles in the fraud.

U.S. District Judge Theodore D. Chuang sentenced Dion Rashaan Foxworth, age 42, of Washington, D.C., to 51 months in federal prison, followed by five years of supervised release, for wire fraud related to an investment fraud scheme and bank fraud related to a fraudulent Paycheck Protection Program (“PPP”) loan. Judge Chuang also ordered Foxworth to pay restitution of $882,908.66.

U.S. Attorney Trini E. Ross announced today that two brothers, Larry Jordan, 45, of Lancaster, NY, and Sutukh El a/k/a Curtis Jordan a/k/a Hugo Hurt a/k/a Hugo Hermes Hurtington, 41, of Buffalo, NY, pleaded guilty before U.S. District Judge John L. Sinatra, Jr. to conspiracy to commit bank fraud and wire fraud for their participation in a scheme to file fraudulent loan applications seeking forgivable Paycheck Protection Program (PPP) loans guaranteed by the Small Business Administration (SBA) under the Coronavirus Aid, Relief, and Economic Security (CARES) Act. The charge carries a maximum...

BOSTON – A Miami woman was sentenced today in federal court in Boston for fraudulently obtaining over $1 million in pandemic-related loans using the stolen identities of more than 10 individuals and then using those funds for personal expenses, including chartering a private jet and renting a luxury apartment.

Irvin Coats and Pamela S. Hubbard fraudulently submitted applications that resulted in three loans.

NEWARK, N.J. – A Union County, New Jersey, man was sentenced today to 42 months in prison for disaster benefits fraud, business impersonation fraud, COVID-19 loan fraud, and Treasury check fraud.

BOSTON – A Stoughton man was sentenced today in federal court in Boston in connection with a fraudulent scheme to obtain COVID-19-related small business loans from several financial institutions.

As part of a coordinated nationwide effort to fight COVID-19 fraud, the Southern District of Georgia has taken action against individuals who illegally obtained nearly $11 million in funds intended to help struggling small businesses during the global pandemic.

HONOLULU – On September 5, 2023, Oseola Vakameilalo, was arraigned in federal court and pled not guilty to all 12 charges in an indictment relating to fraud in connection with the Pandemic Unemployment Assistance (PUA) unemployment insurance program.

OKLAHOMA CITY – Earlier this week, a criminal indictment was unsealed charging six Oklahoma residents with fraudulently obtaining nearly $1 million in Paycheck Protection Program (PPP) loans, announced U.S. Attorney Robert J. Troester.

The indictment alleges two fraudulent schemes that defrauded pandemic assistance programs.

NEWARK, N.J. – A Mercer County, New Jersey, man admitted his role in a kickback conspiracy involving COVID-19 testing.

BOSTON – A Lynnfield man pleaded guilty today in federal court in Boston to fraudulently obtaining multiple Coronavirus Aid, Relief, and Economic Security (CARES) Act loans, including funds from the Payroll Protection Program (PPP), and unemployment benefits to which he was not entitled for his boxing gym.

BOSTON – A Norfolk, Mass. man has been charged and has agreed to plead guilty to conspiring to price gouge hospitals for scarce N95 filtering facepiece respirators (N95 masks) at the start of the COVID-19 pandemic.

BOSTON – A former North Shore resident was sentenced today in connection with filing fraudulent applications for more than $660,000 in Paycheck Protection Program (PPP) loan funds and using those funds for personal expenses, including the purchase of an alpaca farm in Vermont.

LAS VEGAS – A Nevada woman pleaded guilty Monday to fraudulently seeking over $1 million in COVID-19 Paycheck Protection Program (PPP) loans.

COLUMBUS, Ohio – Two Central Ohio women are charged federally with crimes related to fraudulently receiving more than $2.8 million total in covid-relief funds from the Paycheck Protection Program (PPP).

BOSTON – A Methuen man was sentenced today in federal court in Boston for using stolen identities to fraudulently obtain Economic Injury Disaster Loan funds from the Small Business Administration (SBA) and laundering the funds.

James McAuliffe, 55, pleaded guilty to six counts of wire fraud and six counts of aggravated identity theft.

Erek L. Barron, the United States Attorney for Maryland, announced that the U.S. Attorney’s Office continues to prioritize the investigation and prosecution of fraud, waste and abuse relating to pandemic relief enacted by Congress, including fraud involving the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act. The CARES Act was designed to provide emergency financial assistance to Americans suffering the economic effects caused by the COVID-19 pandemic. Attorney General Merrick B. Garland previously selected the Maryland U.S. Attorney’s Office to help lead the U.S. Justice...

A California man pleaded guilty yesterday to fraudulently obtaining $345,108 in COVID-19 pandemic relief loans from a financial institution and the Small Business Administration (SBA).

Tacoma – A disbarred attorney, sentenced last year to 18 months in prison for stealing from a deceased client’s estate and defrauding a friend, pleaded guilty today to wire fraud and making false statements for her scheme to illegally claim COVID pandemic benefits, and lie to the government about her income, announced Acting U.S. Attorney Tessa M. Gorman.

NEW ORLEANS - CYNTHIA CARONNA, a resident of Jefferson Parish, pleaded guilty on August 22, 2023, to a bill of information for conspiring with her co-defendant, Frank LaBruzzo, and with a resident of the United Kingdom to defraud a business seeking to purchase personal protective equipment (PPE) at the height of the COVID-19 pandemic, announced U.S. Attorney Duane A. Evans.

A Lubbock man who defrauded pandemic-era financial programs out nearly $4 million was sentenced today to 15 years in federal prison.

CINCINNATI – A Cincinnati man is charged with wire fraud as part of a scheme to fraudulently obtain a Covid relief loan.

The Justice Department announced today the results of a coordinated, nationwide enforcement action to combat COVID-19 fraud, which included 718 enforcement actions – including federal criminal charges against 371 defendants – for offenses related to over $836 million in alleged COVID-19 fraud.

A Concord, California, woman was sentenced today to 18 years in prison for her leading role in a conspiracy to defraud at least five states of more than $3.5 million in pandemic-related unemployment insurance benefits.

Nikia A. French recruited people on Instagram who were willing to let French use their bank accounts for a bad check scheme.