Reports

Department of Justice

Missouri Man Sentenced to 108 Months in Prison for $3 Million Pandemic Fraud, Witness Tampering, Clean Air Act Violations

Christopher Lee Carroll was also ordered to pay restitution of $3 million.

Department of Justice

Convicted Felon and Related Companies Agree to Pay More than $1 Million to Resolve Allegations that They Falsely Certified Eligibility for PPP Loans

BOSTON – Ralph Caruso of Wenham and five companies that he part-owns, have agreed to pay $1.065 million to resolve False Claims Act allegations that the companies falsely certified to the United States Small Business Administration (SBA) their eligibility for Paycheck Protection Program (PPP) loans. As part of the settlement, Caruso and his companies admitted that the loan applications falsely stated that the companies did not have owners who had pleaded guilty to certain felonies, but in fact Mr. Caruso had pleaded guilty to tax and mail fraud charges.

Department of Justice

South Carolina Woman Sentenced for Money Laundering in Relation to COVID-19 Relief Fraud Scheme

Department of Justice

Two convicted in Eastern District of Texas COVID fraud scheme

A Collin County man and a Floridian have been convicted of federal violations related to a COVID fraud scheme in the Eastern District of Texas, announced Acting U.S. Attorney Abe McGlothin, Jr.

Department of the Treasury OIG

Emergency Rental Assistance Program (ERA1) – Notice of Recoupment, Harris County, Texas (Redacted)

Full Details: Oversight.gov Report Page

Department of the Treasury OIG

Emergency Rental Assistance Program (ERA1) – Notice of Recoupment, Harris County, Texas

Full Details: Oversight.gov Report Page

Department of Justice

Feeding Our Future Defendant Sentenced to 43 Months in Prison For Her “Flagrant” Role in $250 Million Fraud Scheme

Department of Justice

Four More Defendants Plead Guilty to $250 Million Feeding Our Future Fraud Scheme

Department of Justice

Former Massachusetts State Senator Sentenced to 18 Months in Prison for COVID and Tax Fraud

BOSTON – Former Massachusetts State Senator Dean A. Tran was sentenced today in federal court in Boston for scheming to defraud the Massachusetts Department of Unemployment Assistance and collecting income that he failed to report to the Internal Revenue Service (IRS).

Department of the Treasury OIG

Desk Review of the State of New Jersey’s Use of Coronavirus Relief Fund Proceeds

Full Details: Oversight.gov Report Page

Other | 2/07/2025

1-1 - Open

Treasury OIG should follow-up with New Jersey's management to confirm if the $98,000,000 noted as unsupported expenditures within the Contracts greater than or equal to $50,000 payment type can be supported. If support is not provided, Treasury OIG should recoup the funds or request New Jersey management provide support for other eligible replacement expenses, not previously charged to CRF, that were incurred during the period of performance. Further, based on New Jersey management's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace unsupported transactions charged to CRF with valid expenditures, Castro recommends Treasury OIG determine the feasibility of conducting an audit for the Contracts greater than or equal to $50,000 payment type.

10-1 - Open

Treasury OIG follow up with New Jersey's management to confirm if the $12,674,130 noted as unsupported expenditures within the Direct Payments greater than or equal to $50,000 payment type can be supported. If support is not provided, Treasury OIG should recoup the funds or request that New Jersey management provide support for other eligible replacement expenses, not previously charged to CRF, that were incurred during the period of performance. Further, based on New Jersey's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace ineligible transactions charged to CRF with valid expenditures, Castro recommends Treasury OIG determine the feasibility of conducting an audit for the Direct Payments greater than or equal to $50,000 payment type.

11-1 - Open

Treasury OIG follow up with New Jersey's management to confirm if the $3,438,886 noted as unsupported reconciliation errors questioned costs (Other Matter) within the Direct Payments greater than or equal to $50,000 payment type can be supported. If support is not provided, Treasury OIG should recoup the funds or request that New Jersey management provide support for other eligible replacement expenses, not previously charged to CRF, that were incurred during the period of performance. Further, based on New Jersey's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace unsupported transactions charged to CRF with valid expenditures, Castro recommends Treasury OIG determine the feasibility of conducting an audit for the Direct Payments greater than or equal to $50,000 payment type.

12-1 - Open

Treasury OIG follow up with New Jersey's management to confirm if the $210,000 noted as unsupported reconciliation errors questioned costs (Other Matter) within the Direct Payments greater than or equal to $50,000 payment type can be supported. If support is not provided, Treasury OIG should recoup the funds or request that New Jersey management provide support for other eligible replacement expenses, not previously charged to CRF, that were incurred during the period of performance. Further, based on New Jersey's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace unsupported transactions charged to CRF with valid expenditures, Castro recommends Treasury OIG determine the feasibility of conducting an audit for the Direct Payment greater than or equal to $50,000 payment type.

13-1 - Open

Treasury OIG follow up with New Jersey's management to confirm if the $72,008,351 noted as unsupported reconciliation errors questioned costs (Other Matter) within the Aggregate Reporting less than $50,000 payment type can be supported. If support is not provided, Treasury OIG should recoup the funds or request that New Jersey management provide support for other eligible replacement expenses, not previously charged to CRF, that were incurred during the period of performance. Further, based on New Jersey's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace unsupported transactions charged to CRF with valid expenditures, Castro recommends Treasury OIG determine the feasibility of conducting an audit for the Aggregate Reporting less than $50,000 payment type.

13-2 - Open

Treasury OIG determine the feasibility of following up with New Jersey to obtain expenditure support with sufficient expenditure level detail such as vendor names needed to support CRF amounts claimed.

14-1 - Open

Treasury OIG follow up with New Jersey's management to confirm if the $339,154,192 noted as unsupported expenditures within the Aggregate Payments to Individual types can be supported. If support is not provided, Treasury OIG should recoup the funds or request that New Jersey management provide support for other eligible replacement expenses, not previously charged to CRF, that were incurred during the period of performance. Further, based on New Jersey's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace unsupported transactions charged to CRF with valid expenditures, Castro recommends Treasury OIG determine the feasibility of conducting an audit for the Aggregate Payments to Individuals payment type.

15-1 - Open

Treasury OIG follow up with New Jersey's management to provide support for other eligible replacement expenses, not previous charged to CRF, that were incurred during the period of performance for the $124,331,510 of ineligible costs charged to the Aggregate Payments to Individuals payment type. If support is not provided, Treasury OIG should recoup the funds. Further, based on New Jersey's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace ineligible transactions charged to CRF with valid expenditures, Castro recommends Treasury OIG determine the feasibility of conducting an audit for the Aggregate Payments to Individuals payment type.

16-1 - Open

Treasury OIG follow up with New Jersey's management to confirm if the $137,077,969 noted as unsupported reconciliation errors questioned costs (Other Matter) within the Aggregate Payments to Individual payment type can be supported. If support is not provided, Treasury OIG should recoup the funds or request that New Jersey management provide support for other eligible replacement expenses, not previously charged to CRF, that were incurred during the period of performance. Further, based on New Jersey's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace unsupported transactions charged to CRF with valid expenditures, Castro recommends Treasury OIG determine the feasibility of conducting an audit for the Aggregate Payments to Individuals payment type.

16-2 - Open

Treasury OIG determine the feasibility of performing additional follow-up procedures to obtain expenditure support with sufficient expenditure level detail needed to support CRF amounts claimed.

19-3 - Open

Treasury OIG determine the feasibility of requesting that New Jersey perform an assessment to determine if all the potential fraudulent transactions were removed from New Jersey Economic Development Authority (NJEDA)'s CRF claimed amounts.

2-1 - Open

Treasury OIG should follow-up with New Jersey's management to confirm if the $187,176 noted as unsupported expenditures within the Contracts greater than or equal to $50,000 payment type can be supported. If support is not provided, Treasury OIG should recoup the funds or request New Jersey management provide support for other eligible replacement expenses, not previously charged to CRF, that were incurred during the period of performance. Further, based on New Jersey management's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace unsupported transactions charged to CRF with valid expenditures, Castro recommends Treasury OIG determine the feasibility of conducting an audit for the Contracts greater than or equal to $50,000 payment type.

3-1 - Open

Treasury OIG should follow-up with New Jersey's management to confirm if the $18,260,445 noted as unsupported expenditures within the Contracts greater than or equal to $50,000 payment type can be supported. If support is not provided, Treasury OIG should recoup the funds or request New Jersey management provide support for other eligible replacement expenses, not previously charged to CRF, that were incurred during the period of performance. Further, based on New Jersey management's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace unsupported transactions charged to CRF with valid expenditures, Castro recommends Treasury OIG determine the feasibility of conducting an audit for the Contracts greater than or equal to $50,000 payment type.

4-1 - Open

Treasury OIG follow up with New Jersey's management to confirm if the $35,889 noted as unsupported expenditures within the Grants greater than or equal to $50,000 payment type can be supported. If support is not provided, Treasury OIG should recoup the funds or request that New Jersey management provide support for other eligible replacement expenses, not previously charged to CRF, that were incurred during the period of performance. Further, based on New Jersey's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace unsupported transactions charged to CRF with valid expenditures, Castro recommends Treasury OIG determine the feasibility of conducting an audit for the Grants greater than or equal to $50,000 payment type.

4-2 - Open

Treasury OIG determine the feasibility of performing additional follow-up procedures to determine if there were other instances of unsupported balances within the remaining portion of the selected grant balance.

5-1 - Open

Castro recommends that Treasury OIG follow up with New Jersey's management to confirm if the $250,398 noted as unsupported expenditures within the Grants greater than or equal to $50,000 payment type can be supported. If support is not provided, Treasury OIG should recoup the funds or request that New Jersey management provide support for other eligible replacement expenses, not previously charged to CRF, that were incurred during the period of performance. Further, based on New Jersey's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace unsupported transactions charged to CRF with valid expenditures, Castro recommends Treasury OIG determine the feasibility of conducting an audit for the Grants greater than or equal to $50,000 payment type.

5-2 - Open

Castro recommends that Treasury OIG determine the feasibility of performing additional follow-up procedures to determine if there were other instances of unsupported balances within the remaining portion of the selected grant balance.

6-1 - Open

Treasury OIG follow up with New Jersey's management to confirm if the $19,931,910 noted as unsupported expenditures within the Grants greater than or equal to $50,000 payment type can be supported. If support is not provided, Treasury OIG should recoup the funds or request that New Jersey management provide support for other eligible replacement expenses, not previously charged to CRF, that were incurred during the period of performance. Further, based on New Jersey's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace unsupported transactions charged to CRF with valid expenditures, Castro recommends Treasury OIG determine the feasibility of conducting an audit for the Grants greater than or equal to $50,000 payment type.

7-1 - Open

Treasury OIG follow up with New Jersey's management to confirm if the $10,068,090 noted as ineligible expenditures within the Transfers greater than or equal to $50,000 payment type can be supported. If support is not provided, Treasury OIG should recoup the funds or request that New Jersey management provide support for other eligible replacement expenses, not previously charged to CRF, that were incurred during the period of performance. Further, based on New Jersey's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace ineligible transactions charged to CRF with valid expenditures, Castro recommends Treasury OIG determine the feasibility of conducting an audit for the Transfers greater than or equal to $50,000 payment type.

8-1 - Open

Treasury OIG follow up with New Jersey's management to confirm if the $9,410,681 noted as unsupported expenditures within the Transfers greater than or equal to $50,000 payment type can be supported. If support is not provided, Treasury OIG should recoup the funds or request that New Jersey management provide support for other eligible replacement expenses, not previously charged to CRF, that were incurred during the period of performance. Further, based on New Jersey's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace unsupported transactions charged to CRF with valid expenditures, Castro recommends Treasury OIG determine the feasibility of conducting an audit for the Transfers greater than or equal to $50,000 payment type.

9-1 - Open

Treasury OIG follow up with New Jersey's management to confirm if the $205,520,362 noted as other unsupported expenditures within the Transfers greater than or equal to $50,000 payment type can be supported. If support is not provided, Treasury OIG should recoup the funds or request that New Jersey management provide support for other eligible replacement expenses, not previously charged to CRF, that were incurred during the period of performance. Further, based on New Jersey's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace unsupported transactions charged to CRF with valid expenditures, Castro recommends Treasury OIG determine the feasibility of conducting an audit for the Transfers greater than or equal to $50,000 payment type.

9-2 - Open

Treasury OIG determine the feasibility of performing additional follow-up procedures to determine if there were other instances of unsupported questioned costs within the Transfers greater than or equal to $50,000 payment population. Further, based on New Jersey's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace unsupported transactions charged to CRF with valid expenditures, Castro recommends Treasury OIG determine the feasibility of conducting an audit for the Transfers greater than or equal to $50,000 payment type.

9-4 - Open

Treasury OIG determine the feasibility of following up with New Jersey to obtain the missing NJEDA populations questioned as other matters and, utilizing the listing of potential fraudulent transactions provided by NJEDA, determine if the $1,007,050 potential fraudulent amounts were properly reversed.

Department of Justice

Slovakian Man Sentenced for $738,000 Pandemic Loan Fraud

Mark Ethan Jermain submitted three false and fraudulent Paycheck Protection Program loan applications from the Slovak Republic.

Department of Justice

Owner of District Real Estate Company Sentenced for Defrauding Paycheck Protection Program

Patrick Strauss, 54, of Washington D.C., was sentenced today in U.S. District Court to 48 months of probation – including six months of home confinement to be followed by a period of intermittent incarceration, that is, 26 weekends in jail – and ordered to pay restitution in the amount of $304,900 and fined $8,784, all for participating in a conspiracy that fraudulently obtained more than $304,000 in Paycheck Protection Program loans.

Department of Justice

Siblings Plead Guilty to COVID Relief Fraud

Hattiesburg, MS – A Forrest County man and woman pled guilty to conspiring with each other to fraudulently obtain unemployment insurance benefits related to the COVID-19 pandemic.

Department of Justice

Maryland Woman Pleads Guilty to Defrauding Covid-19 Tenant Assistance Program

Syreeta Price, 51, of Maryland, pleaded guilty today in DC Superior Court to one count of first-degree fraud for obtaining more than $20,000 from a DC Covid-19 tenant assistance program despite having no tenancy in DC. The announcement was made by U.S. Attorney Edward R. Martin, Jr., and District of Columbia Inspector General Daniel W. Lucas.

Department of Justice

Serial Fraudster Sentenced to Ten Years in Federal Prison for Stealing Nearly $3 Million and Five Indianapolis Homes

Department of Justice

Shakopee Woman Pleads Guilty in $250 Million Feeding Our Future Fraud Scheme

Department of Justice

Rochester Woman Pleads Guilty To Wire Fraud, Money Laundering in Feeding Our Future Scheme

Department of Justice

Andrew Hollins Imprisoned Following Guilty Pleas to Pandemic Fraud And Narcotics Indictments

Department of Justice

Fresno Man with Prior Fraud Conviction Pleads Guilty to Running a $4.2 Million Fraud Scheme Through His Technology Startup

Royce Newcomb, 62, of Fresno, pleaded guilty today to wire fraud and money laundering charges today for a long-running fraud scheme where he stole $4.2 million from investors, lenders, and the federal government.

Department of Justice

Malden Woman Sentenced to Prison for Fraudulently Obtaining Over $100,000 in COVID-Relief Funds

BOSTON – A Malden woman was sentenced today for fraudulently obtaining over $100,000 from the Pandemic Unemployment Assistance (PUA) program made available under the Coronavirus Aid, Relief and Economic Security Act.

Department of Justice

Chaska Man Pleads Guilty for His Role in $250 Million Feeding Our Future Fraud Scheme

Department of Justice

Two Men Indicted for COVID Unemployment and Loan Fraud

BOSTON – Two men were arrested for allegedly submitting fraudulent information in an effort to obtain loans through the Pandemic Unemployment Assistance (PUA) program.

Department of Justice

Two Cousins Sentenced for Pandemic-Related Fraud

ATLANTA - Johnny Narcisse, and his cousin Johnson Dieujuste, have been sentenced to prison for their scheme to defraud the Paycheck Protection Program (“PPP”) and Economic Injury Disaster Loan (“EIDL”) program of more than $2 million.

Department of Justice

Rochester Man Pleads Guilty for His Role in $250 Million Feeding Our Future Fraud Scheme

Department of Justice

Former Cincinnati resident sentenced to 2 years in prison for fraud related to pandemic relief funds

CINCINNATI – A woman who formerly resided in Cincinnati was sentenced in U.S. District Court to 24 months in prison for crimes related to pandemic relief fraud.

Department of Justice

BATON ROUGE WOMAN SENTENCED TO 13 MONTHS IN FEDERAL PRISON FOR COVID-19 FRAUD

United States Attorney Ronald C. Gathe, Jr. announced that U.S. District Judge Brian A. Jackson sentenced Gernesia Williams, 47, of Baton Rouge, to 13 months in federal prison following her conviction for knowing conversion of government funds.

Department of Justice

Former Minneapolis Mayoral Aide and Safari Restaurant Co-Owner Both Plead Guilty in $250 Million Feeding Our Future Fraud Scheme

Department of Justice

Nigerian who defrauded U.S. pandemic aid programs of more than $1 million sentenced to 54 months in prison

Tacoma – The second of two Nigerian men residing in Canada who defrauded pandemic aid programs of millions was sentenced today in U.S. District Court in Tacoma to 54 months in prison for wire fraud and aggravated identity theft announced U.S. Attorney Tessa M. Gorman.

Department of Justice

Camden Man Pleads Guilty to Stealing More Than $51,000 Through PPP, EIDL Loan Fraud

Yani Stancioff submitted fraudulent applications for PPP and EIDL funds for businesses he didn't own, stealing more than $51,000.

Department of Justice

Lexington Man Sentenced for Fraudulently Obtaining COVID Relief Loans and COVID Relief Rental Assistance

Department of Justice

Michigan Man Charged with Drug Distribution and Loan Fraud

BOSTON – A Michigan man has been charged and has agreed to plead guilty in connection with a conspiracy to import and sell illegal pharmaceuticals, including opioids, and to fund the operation of the scheme by fraudulently obtaining a Covid pandemic relief loan.

Department of Justice

Harford County Man Sentenced for Aggravated Identity Theft and Bank Fraud Scheme

Baltimore, Maryland – U.S. District Judge Julie R. Rubin sentenced Victor Ojo, 30, of Belcamp, Maryland, to 72 months in federal prison, followed by three years of supervised release. Victor Ojo received the sentence for aggravated identity theft and his role in an attempted bank-fraud scheme that had an intended loss amount of $1.5 million.

Department of Justice

Former Professional Basketball Player Sentenced for Pandemic Loan Fraud

ST. LOUIS – U.S. District Judge Rodney W. SipLorenzo Gordon was sentenced to five years of probation, 200 hours of community service and $308,354 restitution.

Department of Justice

Kapolei Woman Indicted for Scheme to Defraud Unemployment Insurance and Pandemic Unemployment Assistance Programs

HONOLULU, Hawaii – Acting United States Attorney Kenneth M. Sorenson announced that on January 23, 2025, a federal grand jury returned a twelve-count indictment against Phoebe Trinh, also known as Phuong Trinh Ngoc Vo, 31, of Kapolei, Hawaii, charging Trinh with nine counts of wire fraud and three counts of aggravated identity theft in connection with fraudulent claims for unemployment insurance and pandemic unemployment assistance.

Department of Justice

Feeding our Future Defendant Sentenced to 17 Years in Prison For His Role in $250 Million Fraud Scheme

Department of Justice

Savage Woman Pleads Guilty for Her Role in $250 Million Feeding Our Future Fraud Scheme

Department of Justice

Broward County Man Sentenced To Prison For Filing Thousands Of Fraudulent COVID-19 Testing Reimbursement Claims, And Ordered To Forfeit Over $5.6 Million And Properties

Tampa, FL – U.S. District Judge Mary S. Scriven today sentenced Willie F. Murray, Jr. (55, West Park) to five years and one month in federal prison for wire fraud and aggravated identity theft. The Court also ordered Murray to forfeit $5,671,611.74 in U.S. currency, $1,578,925.56 from a bank account, and six real properties located in Punta Gorda, Fort Lauderdale, Belle Glade, Hollywood, and South Bay, Florida, which are traceable to proceeds of the offense. Murray entered a guilty plea on September 20, 2024.

Department of Justice

London Man Pleads Guilty to Money Laundering Conspiracy Involving COVID Relief Loans

Department of Justice

Seven Individuals Charged in Largest Employee Retention Credit Scheme Case in the United States

Earlier today, at the federal court in Central Islip, an indictment was unsealed charging Keith Williams, Janine Davis, Morais Dicks, James Hames, Jr., Jamari Lewis, Ewendra Mathurin, and Tiffany Williams with conspiracy to defraud the United States, wire fraud, and aiding and assisting the preparation of false tax returns.

Department of Justice

Houston Woman Sentenced for $800,000 Covid Fraud Scheme

A Houston, Texas, woman was sentenced in federal court today for fraudulently receiving more than $800,000 in Missouri and Coronavirus Aid, Relief, and Economic Security (CARES) Act unemployment benefits using the identity information of numerous other persons.

Department of Commerce OIG

Puerto Rico’s Department of Natural and Environmental Resources Properly Disbursed Funds but Was Slow in Expending Fishery Disaster Assistance Funds

We audited the Puerto Rico’s Department of Natural and Environmental Resources (PRDNER’s) use of Federal Emergency and Pandemic Relief Financial Assistance Funds. Our audit objective was to determine whether federal funds received by PRDNER to support its fisheries in recovering from the impacts of the COVID-19 pandemic1 and damages caused by several hurricanes were properly disbursed and used for their intended purpose. We conducted this audit in response to a congressional request, and answers to congressional questions about disaster relief funds are included in this report. Overall, we...

Full Details: Oversight.gov Report Page

Department of Justice

Ringleader of COVID-19 relief fraud scheme sentenced to federal prison

CINCINNATI – Joseph Lentine III, 55, of Cincinnati, was sentenced in U.S. District Court to 63 months in prison for orchestrating a COVID-19 relief fraud scheme involving millions of dollars.

Department of Justice

St. Louis Woman Sentenced for Stealing Dead Grandmother’s Government Benefits

Shamari Jackson used her grandmother’s debit card to access $13,047 in Social Security benefits and used a $1,200 COVID-19-related stimulus payment intended for her grandmother.

Department of Justice

South Bay-Based Nursing Facilities Chain and Owner Agree to Pay $18 Million to Resolve COVID-Related False Claims Act Allegations

Torrance-based skilled nursing facilities chain Unified Care Services LLC, its affiliates, and its owner, Emmanual David, have agreed to pay $18 million to resolve allegations that they violated the False Claims Act (FCA) by knowingly providing false information in support of Paycheck Protection Program (PPP) loan applications and loan forgiveness applications submitted by Unified Care and its affiliates, the Justice Department announced today.

Department of Justice

Felon Sentenced for Committing Pandemic Relief Fraud While on Supervised Release

ATLANTA - Boeroepae Jordan has been sentenced to a new term in prison for defrauding the Paycheck Protection Program (“PPP”) and Economic Injury Disaster Loan (“EIDL”) program of more than $323,000, less than a year after being released from federal prison for firearms and drug crimes.

Department of Justice

Windermere Woman Charged With COVID Relief Fraud

Orlando, Florida – United States Attorney Roger B. Handberg announces the filing of a criminal complaint charging Carolina Amesty (30, Windermere) with two counts of theft of government property related to COVID relief fraud. Each count carries a maximum penalty of 10 years in federal prison.

Department of Justice

Mansfield Woman Sentenced to 7 Years in Prison for $8.5 Million PPP Fraud

A Mansfield businesswoman was sentenced today to more than 7 years in federal prison in connection with a fraudulent scheme to obtain approximately $8.5 million in forgivable Paycheck Protection Program (PPP) loans.

Department of Justice

Lawrence Man Pleads Guilty to COVID Relief Fraud and Social Security Fraud

BOSTON – A Lawrence man pleaded guilty today in federal court in Boston to fraudulently obtaining and misusing COVID-19 relief funds and stealing Social Security benefits totaling over $200,000.

Department of Justice

New Orleans Man Guilty of Cares Act Fraud, Money Laundering and False Tax Filing

NEW ORLEANS – U.S. Attorney Duane A. Evans announced that CLIFTON C. JAMES (“JAMES”), age 50, of New Orleans, pled guilty on January 15, 2025, before U.S. District Judge Jane Triche-Milazzo to making false statements, theft of government funds, and money laundering related to the Coronavirus Aid, Relief, and Economic Security Act (CARES Act). He also pled guilty to false tax filing with the Internal Revenue Service.

Small Business Administration OIG

SBA’s Use of Hold Codes for Potentially Fraudulent PPP Loans Referred by Lenders

The Office of Inspector General (OIG) is issuing this management advisory to bring attention to concerns regarding SBA’s use of hold codes for potentially fraudulent Paycheck Protection Program (PPP) loans referred by lenders. Opportunities exist for SBA to enhance its handling of lender-referred PPP loans suspected of fraud or illegal activity and its process for capturing these loans to ensure they are promptly flagged to mitigate fraud risk and financial loss. SBA’s Office of Credit Risk Management (OCRM) established a project for lenders to refer PPP loans suspected of fraud or illegal...

Full Details: Oversight.gov Report Page

Pandemic Response Accountability Committee

A Review of Pandemic Relief Funding and How It Was Used In Six U.S. Communities: Marion County, Georgia

To learn how communities across the nation responded to the pandemic, we initiated a multi-part review of six communities—two cities, two rural counties, and two Tribal reservations. This report is the fourth community-specific report and focuses on our work in Marion County, Georgia, where we previously identified that recipients, including city government, small businesses, and individuals, received almost $39 million from 27 pandemic relief programs and subprograms. This report provides a closer look at six pandemic programs and subprograms provided to Marion County by six federal...

Full Details: Oversight.gov Report Page

Department of Justice

Non-Profit A Jewish Voice for Peace, Inc. to Pay $677,634 to Resolve PPP Fraud Allegations

A Jewish Voice for Peace, Inc., a Washington, D.C., based nonprofit organization, has agreed to pay $677,634 to settle allegations that the organization violated the False Claims Act when it applied for and received a $338,817 second-draw loan under the Paycheck Protection Act Program of the CARES Act Disaster Relief Program, and when it further applied for and was granted forgiveness of the entire amount of the loan.

AmeriCorps Office of Inspector General

Management Alert: Concerns Regarding the Obligation of Rescinded Pandemic Funds and Grant Process Documentation

In early 2021, AmeriCorps received $1 billion in supplemental funding under the American Rescue Plan (ARP) primarily to award grants in support of its programs. These funds were to remain available until September 30, 2024. On June 3, 2023, however, Congress rescinded all unobligated AmeriCorps ARP program funds. As part of our oversight of ARP funds, the AmeriCorps Office of Inspector General (AmeriCorps OIG) identified more than 100 Notices of Grant Award involving ARP funds issued after June 3, 2023. Although AmeriCorps’ position is that these grants could still be awarded because they were...

Full Details: Oversight.gov Report Page

Department of Justice

Kennebunk Woman Pleads Guilty to Fraudulently Obtaining PPP Funds During Pandemic

Meghan Martell, 33, submitted an application for a PPP loan, falsely stating she was the sole proprietor of a beauty salon with gross income in 2019 of $99,870 and submitting fraudulent documentation in support of the application.

Department of Justice

Pennsylvania Man Sentenced for Fraudulently Obtaining Unemployment and COVID-19 Benefits

Department of Justice

California Couple Sentenced for Defrauding Paycheck Protection Program

HONOLULU – On January 9, 2025, Senior United States District Judge J. Michael Seabright sentenced Christopher A. Mazzei, 46, and Erin V. Mazzei, 43, both of Arroyo Grande, California, to 36 months and 27 months of imprisonment, respectively, for conspiracy to commit wire fraud and conspiracy to commit money laundering in connection with a scheme to defraud the government of forgivable Paycheck Protection Program (PPP) loan funds intended for Coronavirus-related relief.

Department of Justice

Businessman Sentenced for Theft of Pandemic Relief Funds

BOSTON – A Massachusetts businessman was sentenced today for misappropriating COVID-19 relief funds for personal use.

Department of Justice

Former State Government Employee and Her Former Boyfriend Plead Guilty to Fraudulently Obtaining COVID Jobless Benefits

A former employee of the California Employment Development Department, which administers the state’s unemployment insurance program, pleaded guilty this afternoon to fraudulently obtaining more than $750,000 in COVID jobless relief.

Department of Justice

New Hampshire Man Pleads Guilty to PPP, EIDL Loan Fraud Conspiracy

Tyree Jones, 32, conspired with others to exploit the COVID19 pandemic by submitting fraudulent applications for Paycheck Protection Program (PPP) and Economic Injury Disaster Loan (EIDL) funds.

Department of Justice

Florida Man Returns to Federal Prison for N95 Mask Scheme

Department of Justice

Part-Time Actor from O.C. Sentenced to Over 8 Years in Prison for Soliciting Investors for Shell Companies Peddling Bogus COVID Cure

An Orange County man and part-time actor was sentenced today to 98 months in federal prison for soliciting investors in companies that marketed what in fact were a bogus cure and treatment for COVID-19 during the pandemic’s early days.

Department of Justice

Phenix City Man Sentenced to Over Seven Years in Federal Prison for COVID-19 Loan Scheme

Department of Justice

Ohio Man Sentenced to Prison for Unemployment Insurance and Bank Fraud

Darmani Hawkins, 21, of Aurora, was sentenced to 60 months in prison after pleading guilty to conspiracy to commit wire fraud and mail fraud; conspiracy to commit bank fraud; and mail theft as part of schemes to fraudulently obtain COVID-era state unemployment benefits and, separately, to steal checks from the mail, alter them, and deposit them.

Pandemic Response Accountability Committee

Semiannual Report to Congress: April 1, 2024 - September 30, 2024

Department of Justice

Two Maryland Men Indicted For Unemployment Insurance Fraud Scheme Of More Than $1,000,000

Baltimore, Maryland – A federal grand jury has returned an indictment charging two Maryland men on federal charges related to a scheme to fraudulently obtain more than $1 million in unemployment insurance benefits. On February 1, 2024, a grand jury returned a sealed indictment of Daiwor Woah-Tee, age 51, of Belcamp, Maryland, and Dekwii Woah-Tee, age 46, of Rosedale, Maryland with conspiracy to commit wire fraud, and one count of aggravated identity theft, respectively, relating to a scheme to obtain more than $1,000,000 in unemployment insurance benefits. The indictment was unsealed upon the...

Department of the Treasury OIG

Desk Review of the State of Connecticut’s Use of Coronavirus Relief Fund Proceeds

Full Details: Oversight.gov Report Page

Other | 12/20/2024

1-1 - Open

Treasury Office of Inspector General (OIG) should follow-up with Connecticut's management to confirm if the $56,991,521 noted as unsupported expenditures within the Contracts greater than or equal to $50,000 payment type can be supported. If support is not provided, Treasury OIG should recoup the funds or request Connecticut management provide support for other eligible replacement expenses, not previously charged to CRF, that were incurred during the period of performance. Further, based on Connecticut's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace unsupported transactions charged to CRF with valid expenditures, Treasury OIG should determine the feasibility of conducting an audit for the Contracts greater than or equal to $50,000 payment type.

1-2 - Open

Treasury OIG should determine the feasibility of performing additional procedures on the remaining untested amounts reported in the GrantSolutions portal for the Contracts greater than or equal to $50,000 payment type. Based on Connecticut's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace unsupported transactions charged to CRF with valid expenditures, determine the feasibility of conducting an audit for the Contracts greater than or equal to $50,000 payment type.

10-1 - Open

Treasury OIG should follow up with Connecticut to confirm if the $10,144,090 noted as other matters unsupported expenditures within the Aggregate Payments to Individuals payment type can be supported. If support is not provided, Treasury OIG should recoup the funds or request Connecticut management provide support for other eligible replacement expenses, not previously charged to CRF, that were incurred during the period of performance. Further, based on Connecticut's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace unsupported transactions charged to CRF with valid expenditures, Treasury OIG should determine the feasibility of conducting an audit for the Aggregate Payments to Individuals payment type.

10-2 - Open

Treasury OIG should determine the feasibility of performing additional procedures on the remaining untested amounts reported in the GrantSolutions portal for the Aggregate Payments to Individuals payment type.

11-1 - Open

For the Fiscal Year 2020 Single Audit report, Treasury OIG should follow-up with Treasury's Office of Capital Access to ensure that management decision letters are issued on the findings identified by the auditor in the Single Audit report and should follow-up on any CRF related questioned costs.

12-1 - Open

For the Fiscal Year 2021 Single Audit report, Treasury OIG should follow-up with Treasury's Office of Capital Access to ensure that management decision letters are issued on the findings identified by the auditor in the Single Audit report and should follow-up on any CRF related questioned costs.

13-1 - Open

For the Fiscal Year 2022 Single Audit report, Treasury OIG should follow-up with Treasury's Office of Capital Access to ensure that management decision letters are issued on the findings identified by the auditor in the Single Audit report and should follow-up on any CRF related questioned costs.

2-1 - Open

Treasury OIG should follow-up with Connecticut's management to determine whether the $172,000 unsupported amount identified within the Contracts greater than or equal to $50,000 payment type were duplicate payments. If support is not provided, Treasury OIG should recoup the funds or request Connecticut management provide support for other eligible replacement expenses, not previously charged to CRF, that were incurred during the period of performance. Further, based on Connecticut's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace unsupported transactions charged to CRF with valid expenditures, Treasury OIG should determine the feasibility of conducting an audit for the Contracts greater than or equal to $50,000 payment type.

3-1 - Open

Treasury OIG should request Connecticut's management provide support for the $2,748,079 of other matters unsupported expenditures charged to the Contracts greater than or equal to $50,000 payment type. If support is not provided, Treasury OIG should recoup the funds or request Connecticut management provide support for other eligible replacement expenses, not previously charged to CRF, that were incurred during the period of performance. Further, based on Connecticut's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace unsupported transactions charged to CRF with valid expenditures, Treasury OIG should determine the feasibility of conducting an audit for the Contracts greater than or equal to $50,000 payment type.

4-1 - Open

Treasury OIG should follow-up with Connecticut's management to confirm if the $57,586,446 noted as unsupported expenditures within the Grants greater than or equal to $50,000 payment type can be supported. If support is not provided, Treasury OIG should recoup the funds or request Connecticut management provide support for other eligible replacement expenses, not previously charged to CRF, that were incurred during the period of performance. Further, based on Connecticut's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace unsupported transactions charged to CRF with valid expenditures, Treasury OIG should determine the feasibility of conducting an audit for the Grants greater than or equal to $50,000 payment type.

4-2 - Open

Treasury OIG should determine the feasibility of performing additional procedures on the remaining untested amounts reported in the GrantSolutions portal for the Grants greater than or equal to $50,000 payment type. Based on Connecticut's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace unsupported transactions charged to CRF with valid expenditures, Treasury OIG should determine the feasibility of conducting an audit for the Grants greater than or equal to $50,000 payment type.

5-1 - Open

Treasury OIG should follow up with Connecticut to confirm if the $258,659 noted as unsupported expenditures within the Transfers greater than or equal to $50,000 payment type can be supported. If support is not provided, Treasury OIG should recoup the funds or request Connecticut management provide support for other eligible replacement expenses, not previously charged to CRF, that were incurred during the period of performance. Further, based on Connecticut's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace unsupported transactions charged to CRF with valid expenditures, Treasury OIG should determine the feasibility of conducting an audit for the Transfers greater than or equal to $50,000 payment type.

5-2 - Open

Treasury OIG should determine the feasibility of performing additional procedures on the remaining untested amounts reported in the GrantSolutions portal for the Transfers greater than or equal to $50,000 payment type. Further, based on Connecticut's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace unsupported transactions charged to CRF with valid expenditures, Treasury OIG should determine the feasibility of conducting an audit for the Transfers greater than or equal to $50,000 payment type.

6-1 - Open

Treasury OIG should follow up with Connecticut to confirm if the $18,082,583 noted as unsupported expenditures within the Direct Payments greater than or equal to $50,000 payment type can be supported. If support is not provided, Treasury OIG should recoup the funds or request Connecticut management provide support for other eligible replacement expenses, not previously charged to CRF, that were incurred during the period of performance. Further, based on Connecticut's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace unsupported transactions charged to CRF with valid expenditures, Treasury OIG should determine the feasibility of conducting an audit for the Direct Payments greater than or equal to $50,000 payment type.

6-2 - Open

Treasury OIG should determine the feasibility of performing additional procedures on the remaining untested amounts reported in the GrantSolutions portal for the Direct Payments greater than or equal to $50,000 payment type. Based on Connecticut's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace unsupported transactions charged to CRF with valid expenditures, Treasury OIG should determine the feasibility of conducting an audit for the Direct Payments greater than or equal to $50,000 payment type.

7-1 - Open

Treasury OIG should request Connecticut's management provide support for the $494,492 noted as unsupported expenditures within the Direct Payments greater than or equal to $50,000 payment type. If support is not provided, Treasury OIG should recoup the funds or request Connecticut management provide support for other eligible replacement expenses, not previously charged to CRF, that were incurred during the period of performance. Further, based on Connecticut's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace unsupported transactions charged to CRF with valid expenditures, Treasury OIG should determine the feasibility of conducting an audit for the Direct Payments greater than or equal to $50,000 payment type.

8-1 - Open

Treasury OIG should follow up with Connecticut to confirm if the $36,500 noted as unsupported expenditures within the Aggregate Reporting less than $50,000 payment type can be supported. If support is not provided, Treasury OIG should recoup the funds or request Connecticut management provide support for other eligible replacement expenses, not previously charged to CRF, that were incurred during the period of performance. Further, based on Connecticut's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace unsupported transactions charged to CRF with valid expenditures, Treasury OIG should determine the feasibility of conducting an audit for the Aggregate Reporting less than $50,000 payment type.

8-2 - Open

Treasury OIG should determine the feasibility of performing additional procedures on the remaining untested amounts reported in the GrantSolutions portal for the Aggregate Reporting less than $50,000 payment type.

9-1 - Open

Treasury OIG should follow up with Connecticut to confirm if the $21,118,862 noted as unsupported expenditures within the Aggregate Payments to Individuals payment type can be supported. If support is not provided, Treasury OIG should recoup the funds or request Connecticut management provide support for other eligible replacement expenses, not previously charged to CRF, that were incurred during the period of performance. Further, based on Connecticut's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace unsupported transactions charged to CRF with valid expenditures, Treasury OIG should determine the feasibility of conducting an audit for the Aggregate Payments to Individuals payment type.

9-2 - Open

Department of the Treasury OIG

Desk Review of the Kiowa Tribe of Oklahoma's Use of Coronavirus Relief Fund Proceeds

Full Details: Oversight.gov Report Page

Other | 12/20/2024

1-1 - Open

Treasury OIG should follow-up with Kiowa's management to confirm if the $6,919,819 in Contracts greater than or equal to $50,000 payment type are recouped or replaced by other eligible expenditures, not previously charged to CRF, that were incurred during the period of performance. Further, based on Kiowa's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace unsupported transactions charged to CRF with valid expenditures, Treasury OIG should determine the feasibility of conducting an audit for the Contracts greater than or equal to $50,000 payment type.

10-1 - Open

Treasury OIG should determine the feasibility of following up with Kiowa over the $579,443 of additional hardship payments to determine whether these amounts charged to the CRF included previously budgeted expenditures and, if so, Castro recommends Treasury OIG recoup the funds or request that Kiowa's management provide support for eligible expenditures, not previously charged to CRF, that were incurred during the period of performance.

11-1 - Open

Treasury OIG should follow-up with Kiowa's management to request they perform an analysis over its Aggregate Reporting less than $50,000 payment type claimed costs to determine if there are any additional hardship payments included within that payment type. Based on the results of this assessment, Treasury OIG should consider the feasibility of performing additional testing over these balances.

12-1 - Open

Treasury OIG should determine the feasibility of performing additional follow-up with Kiowa to determine if there were other instances of ineligible or unsupported hardship balances within all four of the hardship payment types claimed within its Aggregate Payments to Individuals payment type.

2-1 - Open

Treasury OIG should follow-up with Kiowa's management to confirm if the $62,744 in Contracts greater than or equal to $50,000 payment type are recouped or replaced by other eligible expenditures, not previously charged to CRF, that were incurred during the period of performance. Further, based on Kiowa's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace unsupported transactions charged to CRF with valid expenditures, Treasury OIG should determine the feasibility of conducting an audit for the Contracts greater than or equal to $50,000 payment type.

3-1 - Open

Treasury OIG should follow-up with Kiowa's management to confirm if the $727,002 in Contracts greater than or equal to $50,000 payment type are recouped or replaced by other eligible expenditures, not previously charged to CRF, that were incurred during the period of performance. Further, based on Kiowa's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace unsupported transactions charged to CRF with valid expenditures, Treasury OIG should determine the feasibility of conducting an audit for the Contracts greater than or equal to $50,000 payment type.

4-1 - Open

TOIG should follow-up with Kiowa's management to confirm if the $124,535 noted as ineligible expenditures within the Contracts greater than or equal to $50,000, payment type are recouped or replaced by other eligible expenditures, not previously charged to CRF, that were incurred during the period of performance. Further, based on Kiowa's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace ineligible transactions charged to CRF with valid expenditures, Treasury OIG should determine the feasibility of conducting an audit for the Contracts greater than or equal to $50,000 payment type.

5-1 - Open

Treasury OIG should follow-up with Kiowa's management to confirm if the $1,832 in Aggregate Reporting less than $50,000 payment type are recouped or replaced by other supported expenditures, not previously charged to CRF, that were incurred during the period of performance. Further, based on Kiowa's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace unsupported transactions charged to CRF with valid expenditures, Treasury OIG should determine the feasibility of conducting an audit for the Aggregate Reporting less than $50,000 payment type.

6-1 - Open

Treasury OIG should follow-up with Kiowa's management to confirm if the $38,162 noted as unsupported expenditures within the Aggregate Payments to Individuals payment type are recouped or replaced by other eligible expenditures, not previously charged to CRF, that were incurred during the period of performance. Further, based on Kiowa's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace ineligible transactions charged to CRF with valid expenditures, Treasury OIG should determine the feasibility of conducting an audit for Aggregate Payments to Individuals.

7-1 - Open

Treasury OIG should follow-up with Kiowa's management to confirm if the $1,860 noted as ineligible expenditures within the Aggregate Payments to Individuals payment type are recouped or replaced by other eligible expenditures, not previously charged to CRF, that were incurred during the period of performance. Further, based on Kiowa's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace ineligible transactions charged to CRF with valid expenditures, Treasury OIG should determine the feasibility of conducting an audit for Aggregate Payments to Individuals.

8-1 - Open

Treasury OIG should follow-up with Kiowa's management to confirm if the $654,200 noted as ineligible expenditures within the Aggregate Payments to Individuals payment type are recouped or replaced by other eligible expenditures, not previously charged to CRF, that were incurred during the period of performance. Further, based on Kiowa's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace ineligible transactions charged to CRF with valid expenditures, Treasury OIG should determine the feasibility of conducting an audit for the Contracts greater than or equal to $50,000 payment type.

9-1 - Open

Treasury OIG should follow-up with Kiowa's management regarding the remaining $12,678 of attorney's fees expenses within the Contracts greater than or equal to $50,000 payment type not tested during Castro's desk review to determine if there are additional unsupported or ineligible questioned costs.

Department of Justice

Boston Man Sentenced for Frequently Obtaining COVID-Relief Funds

BOSTON – A Boston man was sentenced yesterday in federal court in Boston after being convicted of fraudulently obtaining pandemic-related relief funds from the Paycheck Protection Program (PPP).

Department of Justice

Troy Man Charged With Pandemic Unemployment Insurance Fraud

Department of Justice

Maryland Man Pleads Guilty to Fraudulently Filing COVID-19 Cares Act Loans and Tax Fraud

Baltimore, Maryland – Today, Melvin Thompson Jr., 34, of Chestertown, Maryland, pleaded guilty to one count of wire fraud and one count of filing a false tax return in connection with submitting fraudulent loan applications.

Department of the Treasury OIG

Desk Review of the State of Nebraska’s Use of Coronavirus Relief Fund Proceeds

Full Details: Oversight.gov Report Page

Other | 12/19/2024

1-1 - Open

Treasury OIG should confirm if the transactions noted as unsupported expenditures within Grants greater than or equal to $50,000, Transfers greater than or equal to $50,000, Aggregate Reporting less than $50,000, and Aggregate Payments to Individuals payment can be supported. If support is not provided, Treasury OIG should recoup the funds or request that Nebraska provide support for replacement expenses, not previously charged, that were eligible during the CRF period of performance. Further, based on Nebraska's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace unsupported transactions charged to the CRF with valid expenditures, we recommend Treasury OIG determine the feasibility of conducting an audit for the Grants greater than or equal to $50,000, Transfers greater than or equal to $50,000, Aggregate Reporting less than $50,000, and Aggregate Payments to Individuals payment types. Castro also identified other matters throughout the course of the desk review which warrant recommendations to Treasury OIG for additional action. Castro recommends Treasury OIG follow-up on these issues: 1) Request that Nebraska perform an assessment over whether there were any additional indirect costs claimed within its Transfers greater than or equal to $50,000 CRF submission, in addition to those tested by Castro. Castro recommends Treasury OIG determine if these costs should be recouped or replaced by other eligible expenditures, not previously charged to CRF, that were incurred during the period of performance; and 2) Castro tested $6,075 out of the total amount of $1,597,068 in Substantially Dedicated Payroll [1] costs claimed by Nebraska. Since Castro identified ineligible questioned costs within these Aggregate Payments to Individuals Substantially Dedicated Payroll expenditures tested, Castro recommends Treasury OIG determine if there were other instances of ineligible balances within the remaining portion of this balance.

Department of the Treasury OIG

Desk Review of the Commonwealth of Massachusetts’ (Massachusetts) Use of Coronavirus Relief Fund Proceeds

Full Details: Oversight.gov Report Page

Other | 12/19/2024

1-1 - Open

Treasury Office of Inspector General (OIG) should follow-up with Massachusetts management to confirm if the $21,342 noted as unsupported expenditures within the Contracts greater than or equal to $50,000 payment type can be supported. If support is not provided, Treasury OIG should recoup the funds or request Massachusetts' management to provide support for replacement expenses, not previous charged, that were eligible during the CRF period of performance. Further, based on Massachusetts management's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace unsupported transactions charged to CRF with valid expenditures, Treasury OIG should determine the feasibility of conducting an audit for the Contracts greater than or equal to $50,000 payment type, if support is not provided.

10-1 - Open

Treasury OIG should request Massachusetts management to provide support for replacement expenses, not previously charged, that were eligible during the CRF period of performance for the $91,646,107 of fringe benefits and bonus payments ineligible costs charge to the Aggregate Payments to Individuals payment type. If support is not provided, Treasury OIG should recoup the funds. Additionally, Treasury OIG should request that Massachusetts management perform an assessment to determine if there were any additional one-time bonus payments not related to hazardous duty included within its Aggregate Payments to Individuals claims and identify those for repayment to Treasury, as applicable. Further, based on Massachusetts management's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace ineligible transactions charged to CRF with valid expenditures, Treasury OIG should determine the feasibility of conducting an audit for the Aggregate Payments to Individuals payment types.

3-1 - Open

Treasury OIG should request Massachusetts perform an assessment to determine whether there was any additional advertising and marketing costs charged to CRF within its Contracts greater than or equal to $50,000 payment type and identify those for reversal and repayment to Treasury, as applicable. If support is not provided, Treasury OIG should recoup the funds or request Massachusetts' management to provide support for replacement expenses, not previously charged, that were eligible during the CRF period of performance for the $1,500,000 of ineligible costs charged to the Contracts greater than or equal to $50,000 payment type. Based on Massachusetts management's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace ineligible transactions charged to CRF with valid expenditures, Treasury OIG should determine the feasibility of conducting an audit for the Contracts greater than or equal to $50,000 payment type.

4-1 - Open

Treasury OIG should request Massachusetts management to provide support for replacement expenses, not previously charged, that were eligible during the CRF period of performance for the $25,527 of ineligible costs charged to the Contracts greater than or equal to $50,000 payment type. If support is not provided, Treasury OIG should recoup the funds. Based on Massachusetts management's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace ineligible transactions charged to CRF with valid expenditures, Treasury OIG should determine the feasibility of conducting an audit for the Contracts greater than or equal to $50,000 payment types.

5-1 - Open

Treasury OIG should follow-up with Massachusetts management to confirm if the $107,824 noted as unsupported expenditures within the Transfers greater than or equal to $50,000 payment type can be supported. If support is not provided, Treasury OIG should recoup the funds or request Massachusetts' management to provide support for replacement expenses, not previous charged, that were eligible during the CRF period of performance. Further, based on Massachusetts management's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace unsupported transactions charged to CRF with valid expenditures, Treasury OIG should determine the feasibility of conducting an audit for the Transfers greater than or equal to $50,000 payment type.

6-1 - Open

Treasury OIG should request Massachusetts to provide support for replacement expenses, not previously charged, that were eligible during the CRF period of performance for the $59,225 of ineligible costs charged to the Transfers greater than or equal to $50,000 payment type. If support is not provided, Treasury OIG should recoup the funds. Based on Massachusetts management's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace ineligible transactions charged to CRF with valid expenditures, Treasury OIG should determine the feasibility of conducting an audit for the Transfers greater than or equal to $50,000 payment types.

7-1 - Open

Treasury OIG should request Massachusetts to provide support for replacement expenses, not previously charged, that were eligible during the CRF period of performance for the $114,940 of ineligible costs charge to the Direct Payments greater than or equal to $50,000 payment type. If support is not provided, Treasury OIG should recoup the funds. Based on Massachusetts' responsiveness to Treasury OIG's requests and Massachusetts' ability to provide sufficient documentation and/or replace ineligible transactions charged to CRF with valid expenditures, Treasury OIG should determine the feasibility of conducting an audit for the Direct Payments greater than or equal to $50,000 payment type.

7-2 - Open

Treasury OIG should request Massachusetts management perform an assessment over whether there were any additional indirect costs or negotiated rates claimed within its Direct Payments greater than or equal to $50,000 and Grants greater than or equal to $50,000 payment types, and to identify those costs for repayment to Treasury, as applicable.

8-1 - Open

Treasury OIG should request Massachusetts management to provide support for replacement expenses, not previously charged, that were eligible during the CRF period of performance for the $70,625,069 of ineligible costs charge to the Aggregate Payments to Individuals payment type. If support is not provided, Treasury OIG should recoup the funds. Additionally, Treasury OIG should request that Massachusetts management perform an assessment to determine if there were any additional one-time bonus payments not related to hazardous duty included within its Aggregate Payments to Individuals claims and identify those for repayment to Treasury, as applicable. Further, based on Massachusetts management's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace ineligible transactions charged to CRF with valid expenditures, Treasury OIG should determine the feasibility of conducting an audit for the Aggregate Payments to Individuals payment types.

9-1 - Open

Treasury OIG should request that Massachusetts management perform an assessment to determine if there were any additional one-time bonus payments not related to hazardous duty included within its Aggregate Payments to Individuals claims and identify those for repayment to Treasury, as applicable. Treasury OIG should request Massachusetts management to provide support for replacement expenses, not previously charged, that were eligible during the CRF period of performance for the $991 of ineligible costs charge to the Aggregate Payments to Individuals payment type. If support is not provided, Treasury OIG should recoup the funds. Based on Massachusetts management's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace ineligible transactions charged to CRF with valid expenditures, Treasury OIG should determine the feasibility of conducting an audit for the Aggregate Payments to Individuals payment types.

Department of the Treasury OIG

Desk Review of the Native Village of Selawik's Coronavirus Relief Fund Proceeds

Full Details: Oversight.gov Report Page

Other | 12/19/2024

1-1 - Open

Treasury OIG should follow-up with Selawik's management to confirm the transactions noted as unsupported or ineligible expenditures within the Direct Payments greater than or equal to $50,000, Aggregate Reporting less than $50,000, and Aggregate Payments to Individuals payment types are recouped or replaced by other eligible expenditures not previously charged to CRF, that were incurred during the period of performance. Based on Selawik's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation, Treasury OIG should determine the feasibility of conducting an audit for the Direct Payments greater than or equal to $50,000, Aggregate Reporting less than $50,000, and Aggregate Payments to Individuals payment types. Treasury OIG should also follow-up on these issues: 1) Based on the results of Castro's testing over $23,414 out of $857,576 in CRF payroll expenses claimed by Selawik, Treasury OIG should determine the feasibility of following up on the balance of $834,162, as the remaining balance may be similarly unsupported or ineligible since Castro found exceptions related to all payroll transactions tested; 2) Follow-up with Selawik to determine if there were additional costs, separate from those tested by Castro, claimed within the Direct Payments greater than or equal to $50,000, Aggregate Reporting less than $50,000, and Aggregate Payments to Individuals payment types related to the construction of its "new store", and if so, determine if those amounts should be questioned as well; and 3) Since there were hardship payments misclassified in the Direct Payments greater than or equal to $50,000 payment type that should have been reported in the Aggregate Payments to Individuals payment type identified within the testing, Treasury OIG should follow-up with Selawik to determine if there were additional costs claimed within the Direct Payments greater than or equal to $50,000 and Aggregate Payments to Individuals payment types related to hardship payment claims, and if so, determine if those amounts should be questioned as well.

Department of the Treasury OIG

Desk Review of the State of Washington's Use of Coronavirus Relief Fund Proceeds

Full Details: Oversight.gov Report Page

Other | 12/19/2024

Department of Justice

Missouri Man Accused of $284,000 Pandemic Rental Assistance Fraud

An indictment accuses Steven Hendren of submitting fraudulent applications for rental assistance to the Missouri Housing Development Commission.

Department of Justice

False Claims Act Lawsuits Filed Against Three Individuals for Fraudulently Obtaining Pandemic Relief Funds

As alleged in each of the complaints, the defendants either misrepresented the annual income and payroll costs of their businesses or misrepresented that they operated any business at all.

Department of the Treasury OIG

Desk Review of Oklahoma County, Oklahoma's Use of Coronavirus Relief Fund Proceeds

Full Details: Oversight.gov Report Page

Other | 12/18/2024

1-1 - Open

Treasury Office of Inspector General (OIG) should follow up with Oklahoma County's management to confirm if the $91,218 noted as unsupported expenditures within the Transfers greater than or equal to $50,000, Aggregate Reporting less than $50,000, and Aggregate Payments to Individuals payment types can be supported. If support is not provided, Treasury OIG should recoup the funds or request Oklahoma County management to provide support for replacement expenses, not previously charged, that were eligible during the CRF period of performance. In addition, Treasury OIG should request Oklahoma County management to provide support for replacement expenses, not previously charged, that were eligible during the CRF period of performance for the $326,664 of ineligible costs charged to the Transfers greater than or equal to $50,000 payment type. If support is not provided, Treasury OIG should recoup the funds. Further, based on Oklahoma County's responsiveness to Treasury OIG's requests and management's ability to provide sufficient documentation and/or replace unsupported and ineligible transactions charged to CRF with valid expenditures, Treasury OIG should determine the feasibility of conducting an audit for the Transfers greater than or equal to $50,000, Aggregate Reporting less than $50,000, and Aggregate Payments to Individuals payment types. Treasury OIG should follow-up with Oklahoma County to request that Oklahoma County management performs an assessment over the $1,288,109 in grants funds paid to the Oklahoma County Home Finance Authority, which were not tested by Castro, to determine if rental assistance payments and prepaid debit cards payments were made utilizing solely Oklahoma County's CRF proceeds, or if these expenses were paid with State of Oklahoma and Oklahoma City funding sources. If support is not provided, Treasury OIG should recoup the funds or request Oklahoma County management to provide support for replacement expenses, not previously charged, that were eligible during the CRF period of performance.

Department of the Treasury OIG

Desk Review of the State of New Hampshire’s Use of Coronavirus Relief Fund Proceeds

Full Details: Oversight.gov Report Page

Other | 12/18/2024

Department of the Treasury OIG

Desk Review of the State of Oklahoma's Use of Coronavirus Relief Fund Proceeds

Full Details: Oversight.gov Report Page

Other | 12/18/2024

1-1 - Open

Treasury OIG should follow-up with Oklahoma's management to confirm if the $35,499,181 noted as unsupported expenditures within the Grants greater than or equal to $50,000, Transfers greater than or equal to $50,000, Direct Payments greater than or equal to $50,000, Aggregate Reporting less than $50,000, and Aggregate Payments to Individuals payment types can be supported. If support is not provided, Treasury OIG should recoup the funds or request Oklahoma management to provide support for replacement expenses, not previously charged to CRF, that were incurred during the period of performance. In addition, Treasury OIG should request Oklahoma management to provide support for replacement expenses, not previously charged, that were eligible during the CRF period of performance for the $75,926 of ineligible costs charged to the Transfers greater than or equal to $50,000 and Direct Payments greater than or equal to $50,000 payment types. If support is not provided, Treasury OIG should recoup the funds. Based on Oklahoma's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace unsupported and ineligible transactions charged to CRF with valid expenditures, Treasury OIG should determine the feasibility of conducting an audit for the Grants greater than or equal to $50,000, Transfers greater than or equal to $50,000, Direct Payments greater than or equal to $50,000, Aggregate Reporting less than $50,000, and Aggregate Payments to Individuals payment types. Treasury OIG should follow-up with Treasury's Office of Capital Access to ensure that management decision letters are issued on the findings identified by the auditor in the Single Audit report. Treasury OIG should obtain and review Oklahoma's FY 2022 Single Audit report, as this was not available to Castro during our desk review planning procedures. Treasury OIG should follow-up with Oklahoma and request management to perform an analysis over all grants-reporting portal balances to determine if there were other instances, separate from those identified by Castro, of subscription costs that extended past the expenditure deadline of September 30, 2022.

Department of the Treasury OIG

Emergency Rental Assistance (ERA1) Program Notice of Recoupment – State of Alaska (Redacted)

Full Details: Oversight.gov Report Page

Department of Justice

Gonzales Man Charged in Multimillion-Dollar Scheme to Defraud the COVID-19 Employee Retention Credit Program

United States Attorney Ronald C. Gathe, Jr., announced that a Bill of Information has been filed charging Damian R. Raby, age 41, of Gonzales, Louisiana, with conspiracy to launder money and obstructing the administration of the internal revenue laws, relating to a multimillion-dollar scheme to defraud a COVID-19 economic relief program.

Department of Justice

Florida Woman Sentenced to Prison for Pandemic-Related Fraud

ATLANTA - Calah Williams has been sentenced for stealing Economic Injury Disaster Loan (“EIDL”), Paycheck Protection Program (“PPP”), and unemployment insurance (“UI”) benefits made available through the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act during the COVID-19 pandemic.

Department of Justice

Springfield Business Owner Sentenced for $14 Million Fraud Scheme

A Springfield, Mo., business owner was sentenced in federal court today for his role in a nearly $14 million wire fraud conspiracy that utilized his businesses, as well as fake businesses, to fraudulently receive loans under the Coronavirus Aid, Relief, and Economic Security (CARES) Act.

Department of the Treasury OIG

Desk Review of the State of Utah’s Use of Coronavirus Relief Fund Proceeds

Full Details: Oversight.gov Report Page

Other | 12/17/2024

1-1 - Open

Treasury OIG should follow-up with Utah's management to confirm if the $40,308,738 noted as unsupported expenditures within the Contracts greater than or equal to $50,000, Grants greater than or equal to $50,000, Transfers greater than or equal to $50,000, Aggregate Reporting less than $50,000, and Aggregate Payments to Individuals payment types can be supported. If support is not provided, Treasury OIG should recoup the funds or request Utah management to provide support for replacement expenses, not previously charged, that were eligible during the CRF period of performance. Treasury OIG should request Utah management to provide support for replacement expenses, not previously charged, that were eligible during the CRF period of performance for the $6,852,799 of ineligible costs charged to the Contracts greater than or equal to $50,000, Grants greater than or equal to $50,000, Transfers greater than or equal to $50,000, and Aggregate Payments to Individuals payment types. If support is not provided, Treasury OIG should recoup the funds. Further, based on Utah's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace unsupported and ineligible transactions charged to CRF with valid expenditures, Treasury OIG should determine the feasibility of conducting an audit for the Contracts greater than or equal to $50,000, Grants greater than or equal to $50,000, Transfers greater than or equal to $50,000, Aggregate Reporting less than $50,000, and Aggregate Payments to Individuals payment types. Treasury OIG should follow-up with Treasury's Office of Capital Access to ensure that management decision letters are issued on the findings identified by the auditor in the Single Audit report for fiscal years 2020, 2021, and 2022. Treasury OIG should follow-up on any CRF specific questioned costs reported in the fiscal year 2020, 2021, and 2022 Single Audit reports. Treasury OIG should follow-up on these issues: 1) identified unsupported questioned costs totaling $11,985,002 claimed by Utah under a $20,456,023 contract for broadband enhancement services. Treasury OIG should determine the feasibility of performing additional follow-up with Utah to determine if there were other instances of unsupported costs within the $8,471,021 remaining, untested balance; 2) Treasury OIG should determine the feasibility of performing additional follow-up with Utah to determine if there were other instances of unsupported balances related to the advertising campaigns created through a third-party vendor; 3) Follow-up with Utah management and request that management performs an analysis over all of their grant-reporting portal balances to determine if there were other instances of subscription costs, separate from those tested, included in the CRF reported expenditures and review those expenditures to determine if there were subscription costs that extended past September 30, 2022; 4) Treasury OIG should determine the feasibility of performing additional follow-up with Utah to determine if there were other instances of unsupported costs within the other two awards issued under this program that were not tested; and 5) Treasury OIG should determine the feasibility of performing additional follow-up with Utah to determine if there were other instances of unsupported grants within the amount of $1,790,107 not tested.

Department of the Treasury OIG

Desk Review of the District of Columbia’s Use of Coronavirus Relief Fund Proceeds

Full Details: Oversight.gov Report Page

Other | 12/17/2024

1-1 - Open

Treasury Office of Inspector General (OIG) should request DC to provide support for replacement expenses, not previously charged, that were eligible during the CRF period of performance for the $5,217,865 of ineligible costs charge to the Contracts greater than or equal to $50,000 payment type. If support is not provided, Treasury OIG should recoup the funds.

1-2 - Open

Based on DC management's ability to respond to Treasury OIG's requests related to the health care contract's ineligible costs, Treasury OIG should request the details on the remainder of the contract balance. If DC management is unable to itemize the portion of the medical expenses that were COVID-19 related, Treasury OIG determine if the remaining contract balance was similarly ineligible and should be recouped or replaced by other eligible expenditures, not previously charged to CRF, that were incurred during the period of performance. Based on DCs responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace ineligible transactions charged to CRF with valid expenditures, Treasury OIG should determine the feasibility of conducting an audit for the Contracts greater than or equal to $50,000 payment type.

10-1 - Open

Treasury OIG should request DC's management to provide support for replacement expenses, not previously charged, that were eligible during the CRF period of performance for the $202,695 of ineligible questioned cost reconciliation error (other matters charged to the Grants greater than or equal to $50,000 payment type. If support is not provided, Treasury OIG should recoup the funds. Based on DC management's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace ineligible transactions charged to CRF with valid expenditures, Treasury OIG should determine the feasibility of conducting an audit for the Grants greater than or equal to $50,000 payment types.

11-1 - Open

Treasury OIG should request DC's management to provide support for replacement expenses, not previously charged, that were eligible during the CRF period of performance for the $575,000 of ineligible questioned cost reconciliation error (other matters charged to the Grants greater than or equal to $50,000 payment type. If support is not provided, Treasury OIG should recoup the funds. Based on DC management's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace ineligible transactions charged to CRF with valid expenditures, Treasury OIG should determine the feasibility of conducting an audit for the Grants greater than or equal to $50,000 payment types.

12-1 - Open

Treasury OIG should follow-up with the DC's management to confirm if the $30,107 noted as unsupported expenditures within Aggregate Payments to Individuals can be supported. If support is not provided, Treasury OIG should recoup the funds or request DC's management to provide support for replacement expenses, not previously charged, that were eligible during the CRF period of performance. Further, based on the DC management's responsiveness to Treasury Office of Inspector General requests and its ability to provide sufficient documentation, and/or replace unsupported transactions charged to CRF with valid expenditures, Treasury Office of Inspector General should determine the feasibility of conducting an audit for the Aggregate Payments to Individuals payment type.

2-1 - Open

Treasury OIG should request DC to provide support for replacement expenses, not previously charged, that were eligible during the CRF period of performance for the $6,117 of ineligible costs charged to the Contracts greater than or equal to $50,000 payment type. If support is not provided, Treasury OIG should recoup the funds. Based on DC management's responsiveness to Treasury OIG's requests and management's ability to provide sufficient documentation and/or replace ineligible transactions charged to CRF with valid expenditures, Treasury OIG should determine the feasibility of conducting an audit for the Contracts greater than or equal to $50,000 payment types.

3-1 - Open

Treasury OIG should request DC to provide support for replacement expenses, not previously charged, that were eligible during the CRF period of performance for the $148,721 of ineligible costs charged to the Contracts greater than or equal to $50,000 payment type. If support is not provided, Treasury OIG should recoup the funds. Based on DCs management's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace ineligible transactions charged to CRF with valid expenditures, Treasury OIG should determine the feasibility of conducting an audit for the Contracts greater than or equal to $50,000 payment types.

4-1 - Open

Treasury OIG should follow-up with DC's management to confirm if the $39,384 unsupported expenditures within the Grants greater than or equal to $50,000 payment type can be supported. If support is not provided, Treasury OIG should recoup the funds or request DC management to provide replacement expenses, not previously charged, that were eligible during the CRF period of performance.

4-2 - Open

Treasury OIG should follow-up with DC's management to determine if the remaining grant balance was similarly unsupported and should be recouped or replaced by other eligible expenditures, not previously charged to CRF, that were incurred during the period of performance. Based on DC's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation, and/or replace unsupported transactions charged to CRF with valid expenditures, Treasury OIG should determine the feasibility of conducting an audit for Grants greater than or equal to $50,000 payment type.

5-1 - Open

Treasury OIG should follow-up with DC's management to confirm if the $24,261 noted as unsupported expenditures within the Grants greater than or equal to $50,000 payment type can be supported. If support is not provided, Treasury OIG should recoup the funds or request DC management to provide replacement expenses, not previously charged, that were eligible during the CRF period of performance.

5-2 - Open

Treasury OIG should determine the feasibility of performing additional testing over portions of the remaining untested grant balance. If DC is unable to provide support Treasury OIG should recoup the funds or request that DC management provide support for replacement expenses, not previously charged, that were eligible during the CRF period of performance. Further, based on DC's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation, and/or replace unsupported transactions charged to CRF with valid expenditures, Treasury OIG should determine the feasibility of conducting an audit for Grants greater than or equal to $50,000 payment type.

6-1 - Open

Treasury OIG should request DC to provide support for replacement expenses, not previously charged, that were eligible during the CRF period of performance for the $8,290 of ineligible costs charge to the Grants greater than or equal to $50,000 payment type. If support is not provided, Treasury OIG should recoup the funds. Based on DC management's responsiveness to Treasury OIG's requests and management's ability to provide sufficient documentation, Treasury OIG should determine the feasibility of conducting an audit for Grants greater than or equal to $50,000 payment type.

7-1 - Open

Treasury OIG should request DC to provide support for replacement expenses, not previously charged, that were eligible during the CRF period of performance for the $14,000 of ineligible costs charged to the Grants greater than or equal to $50,000 payment type. If support is not provided, Treasury OIG should recoup the funds. Based on DC management's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace ineligible transactions charged to CRF with valid expenditures, Treasury OIG should determine the feasibility of conducting an audit for the Grants greater than or equal to $50,000 payment types.

7-2 - Open

Treasury OIG should request DC management perform an assessment over the remaining balance of $861,000 within its Grants greater than or equal to $50,000 payment types to determine if there were other similarly ineligible expenses.

8-1 - Open

Treasury OIG should request DC to provide support for replacement expenses, not previously charged, that were eligible during the CRF period of performance for the $12,744 of ineligible costs charged to the Grants greater than or equal to $50,000 payment type. If support is not provided, Treasury OIG should recoup the funds. Based on DC management's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace ineligible transactions charged to CRF with valid expenditures, Treasury OIG should determine the feasibility of conducting an audit for the Grants greater than or equal to $50,000 payment types.

8-2 - Open

Treasury OIG should request DC management perform an assessment over the remaining balance of $862,256 within its Grants greater than or equal to $50,000 payment types to determine if there were other similarly ineligible expenses.

9-1 - Open

Treasury OIG should request DC's management to provide support for replacement expenses, not previously charged, that were eligible during the CRF period of performance for the $21,202,722 of ineligible costs (other matters) charged to the Grants greater than or equal to $50,000 payment type. If support is not provided, Treasury OIG should recoup the funds. Based on DC management's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation and/or replace ineligible transactions charged to CRF with valid expenditures, Treasury OIG should determine the feasibility of conducting an audit for the Grants greater than or equal to $50,000 payment types.

Department of the Treasury OIG

Desk Review of the State of North Dakota’s Use of Coronavirus Relief Fund Proceeds

Full Details: Oversight.gov Report Page

Other | 12/17/2024

1-1 - Open

Treasury OIG should follow-up with North Dakota's management to confirm the transactions noted as unsupported or ineligible expenditures within the Contracts greater than or equal to $50,000, Direct Payments greater than or equal to $50,000, Aggregate Reporting less than $50,000, and Aggregate Payments to Individuals payment types are recouped or replaced by other eligible expenditures, not previously charged to CRF, that were incurred during the period of performance. Based on North Dakota management's responsiveness to Treasury OIG's requests and its ability to provide sufficient documentation, Treasury OIG should determine the feasibility of conducting an audit for the Contracts greater than or equal to $50,000, Direct Payments greater than or equal to $50,000, Aggregate Reporting less than $50,000, and Aggregate Payments to Individuals payment types. Treasury OIG should follow-up with Treasury's Office of Capital Access to ensure that management decision letters are issued on the findings identified by the auditor in the Single Audit Report for fiscal years 2021/2022 (combined report). Treasury OIG should follow-up on any CRF specific questioned costs reported in the fiscal year 2021-2022 Single Audit report. 1) Treasury OIG should determine the feasibility of performing additional follow-up with North Dakota to determine if there were other instances of unsupported balances within the DUC oil well grant program; 2) Follow-up with North Dakota management and request that management performs an analysis over all of their grants portal reported balances to determine if there were other instances of subscription costs that extended past September 30, 2022 in addition to the items found through testing; and 3) request that North Dakota management conduct a general ledger detail reconciliation related to the interest income. Based on the results of this analysis, Treasury OIG should determine if the analysis supports the $6,651 difference between the interest earned per the general ledger and the interest claimed in the grants reporting portal.

Special Inspector General for Pandemic Recovery

Audit Memorandum The MSLPs Loan Losses Effect on Treasurys Investment in the Program

Full Details: Oversight.gov Report Page

Department of Justice

Suffolk County Corrections Officers Charged with COVID Unemployment and Loan Fraud

BOSTON – Two corrections officers employed by the Suffolk County Sherriff’s Department were arrested today for allegedly submitting fraudulent information in an effort to obtain loans through CARES Act programs like the Pandemic Unemployment Assistance (PUA) program and the Paycheck Protection Program (PPP).

Department of Justice

Seattle man pleads guilty to wire fraud and aggravated identity theft for schemes to steal from employer, disaster relief program, and former significant other

Seattle – A 31-year-old Seattle man pleaded guilty today in U.S. District Court in Seattle to two counts of wire fraud and one count of aggravated identity theft for three different fraud schemes between 2019 and 2022, announced U.S. Attorney Tessa M. Gorman.

Department of Justice

Spokane Business Owner Pleads Guilty to Conspiracy to Violate the Clean Air Act and Stealing COVID-19 Relief Funds

Department of Justice

St. Louis Man Sentenced to 15 Months in Prison for Pandemic Loan Fraud

Robert Baines was ordered to repay the $41,484 in PPP loans, as well as $4,815 to the property management company where he once worked.

Department of Justice

Fort Wayne Woman Sentenced to 50 Months in Prison

Department of Justice

Kapaa Woman Indicted for Scheme to Defraud Coronavirus Rental and Utility Assistance Program

HONOLULU – On December 12, 2024, a federal grand jury returned an eight-count indictment against Kaiaulani C. Kaiawe, also known as Coty K. Duhaylongsod, 46, of Kapaa, Hawaii, charging Kaiawe with wire fraud, aggravated identity theft, and money laundering in connection with fraudulent claims for pandemic-related rental and utility assistance.

Department of the Treasury OIG

Desk Review of the City of Fresno, California’s Use of Coronavirus Relief Fund Proceeds

Full Details: Oversight.gov Report Page

Other | 12/12/2024

Department of the Treasury OIG

Desk Review of Dallas County, Texas’ Use of Coronavirus Relief Fund Proceeds

Full Details: Oversight.gov Report Page

Other | 12/12/2024

Department of the Treasury OIG

Desk Review of the State of Mississippi’s Use of Coronavirus Relief Fund Proceeds

Full Details: Oversight.gov Report Page

Other | 12/12/2024

3-1 - Open

Treasury Office of Inspector General should follow-up with Mississippi's management to confirm if the $1,320,000 noted as unsupported expenditures within the Direct Payments greater than or equal to $50,000 payment type can be supported. If support is not provided, Treasury Office of Inspector General should recoup the funds or request Mississippi management to provide support for replacement expenses, not previously charged, that were eligible during the CRF period of performance. Further, based on Mississippi's responsiveness to Treasury Office of Inspector General's requests and its ability to provide sufficient documentation and/or replace unsupported transactions charged to CRF with valid expenditures, Treasury Office of Inspector General should determine the feasibility of conducting an audit for the Direct Payments greater than or equal to $50,000 payment type.

5-1 - Open

Treasury Office of Inspector General should follow-up with Mississippi's management to confirm if the $4,066 noted as unsupported expenditures within the Aggregate Payments to Individuals payment type can be supported. If support is not provided, Treasury Office of Inspector General should recoup the funds or request Mississippi management to provide support for replacement expenses, not previously charged, that were eligible during the CRF period of performance. Further, based on Mississippi's responsiveness to Treasury Office of Inspector General's requests and its ability to provide sufficient documentation and/or replace unsupported transactions charged to CRF with valid expenditures, Treasury Office of Inspector General should determine the feasibility of conducting an audit for the Aggregate Payments to Individuals payment type.

6-1 - Open

For the Fiscal Year 2021 Single Audit report, Treasury Office of Inspector General should follow-up with Treasury's Office of Capital Access to ensure that management decision letters are issued on the findings identified by the auditor in the Single Audit report and should follow-up on any CRF related questioned costs.

7-1 - Open

Treasury Office of Inspector General should follow-up with Mississippi to determine the feasibility of conducting a limited scope review of its unemployment expenditures.

Department of the Treasury OIG

Desk Review of the State of Mississippi’s Use of Coronavirus Relief Fund Proceeds

Full Details: Oversight.gov Report Page

Department of the Treasury OIG

Desk Review of State of Arizona's Use of Coronavirus Relief Fund Proceeds

Full Details: Oversight.gov Report Page

Other | 12/12/2024

1-1 - Open

Office of Inspector General (OIG) request Arizona perform an assessment over whether there were any additional indirect costs claimed within its Grants greater than or equal to $50,000 CRF submission, and identify those for removal and repayment to Treasury, as applicable. In addition, Castro recommends that Treasury OIG request that Arizona management provide support for replacement expenses, not previously charged, that were eligible during the CRF period of performance for the $55,413 of ineligible costs charged to the Grants greater than or equal to $50,000 payment type. If support is not provided, Treasury OIG should recoup the funds.

2-1 - Open

Treasury OIG follow-up with Arizona's management to confirm if the $117,614,002 noted as unsupported expenditures within the Transfers greater than or equal to $50,000 payment type can be supported. If support is not provided, Treasury OIG should recoup the funds or request Arizona's management to provide support for replacement expenses, not previously charged, that were eligible during the CRF period of performance. Further, based on Arizona management's responsiveness to Treasury OIG's requests and management's ability to provide sufficient documentation and/or replace unsupported and ineligible transactions charged to CRF with valid expenditures, Castro recommends Treasury OIG determine the feasibility of conducting an audit for Transfers greater than or equal to $50,000 payment type.

3-1 - Open

Treasury OIG request that Arizona management completes a reconciliation of its Transfers greater than or equal to $50,000 population utilizing state agency incurred expenditures at the invoice level. Based on Arizona management's ability to provide a sufficient general ledger detail reconciliation for Transfers greater than or equal to $50,000, we recommend Treasury OIG determine the feasibility of performing additional testing over Transfers greater than or equal to $50,000.

4-1 - Open

Treasury OIG determine the feasibility of performing additional follow-up with Arizona to determine if there were other instances of unsupported balances within the remaining untested balance of Substantially Dedicated Payroll costs. Castro further recommends that Treasury OIG follow-up with Arizona's management to confirm if the $18,133,411 noted as unsupported expenditures within the Aggregate Payments to Individuals payment type can be supported. If support is not provided, Treasury OIG should recoup the funds or request Arizona's management to provide support for replacement expenses, not previously charged, that were eligible during the CRF period of performance. Further, based on Arizona management's responsiveness to Treasury OIG's requests and management's ability to provide sufficient documentation and/or replace unsupported transactions charged to CRF with valid expenditures, Castro recommends Treasury OIG determine the feasibility of conducting an audit for the Aggregate Payments to Individuals payment type.

5-1 - Open

Request documentation of any additional annual leave payments that were earned prior to the CRF covered period were claimed as CRF expenses, and identify those for reversal and repayment to Treasury, as applicable. Additionally, request Arizona provide support for replacement expenses, not previously charged, that were eligible during the CRF period of performance for the $18,631 of ineligible costs charged to the Aggregate Payments to Individuals payment type. If support is not provided, recoup the funds. Based on Arizona's responsiveness to Treasury OIG's requests and Arizona's ability to provide sufficient documentation and/or replace ineligible transactions charged to CRF with valid expenditures, determine the feasibility of conducting an audit for the Aggregate Payments to Individuals payment type.

Department of Justice

Suburban Chicago Businessman Charged With Covid-Relief Fraud

FRANCESCO DISTEFANO and a co-defendant allegedly used fraud proceeds to purchase a Lamborghini Huracan, Maserati Ghibli, and Porsche 911.

Department of Justice

Richmond County woman sentenced to federal prison for defrauding pandemic relief program

A Richmond County woman has been sentenced to federal prison and ordered to pay restitution for defrauding a COVID-19 small business relief program.

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