ppp loan frauds list in georgia

On March 27, 2020, Congress passed and President Trump signed into law the Coronavirus Aid, Relief, andEconomic Security(CARES)Act authorizing the low-interest, forgivable loans. Law enforcement assisting in the investigation included the Small Business Administration OIG office, the FBI, FDIC and others. A lock ( Man Under Indictment (Wisconsin July 8), 21. If you dont know, those are characters from the Game of Thrones TV series. Following a nine-day trial, Ahamefule Aso Odus has been convicted by a federal jury on 12 counts of money laundering stemming from his role in a massive money laundering operation Northern District of Georgia On March 16, 2020, Attorney General William Barr directed all 94 U.S. Attorneys Offices to prioritize investigating and prosecuting PPP loan cases of fraud. The attempted fraud is staggering: $341,000,000 through January 2021. He then allegedly transferred $47,000 to his personal checking account. He allegedly claimed to have 250 employees when there is no record of any in his business, Rai Family LLC. However, the alternative of waiting would not have served the country well. The impact of COVID-19 on small businesses around the country has been devastating, said Acting U.S. Attorney Kurt R. Erskine. They allegedly discussed their fraud in email and one assumed the identity of his own brother. Three people she allegedly claimed as staff told investigators they never heard of her company. The CARES Act was signed to provide economic assistance to keep companies afloat while navigating through these uncertain times, said Tommy D. Coke, Inspector in Charge of the Atlanta Division. Postal Inspection Service (USPIS) and the Drug Enforcement Administration executed a search warrant at the home of Alicia Quarterman in connection with an ongoing narcotics trafficking investigation. We have a new Administration in Washington, but government officials in the Justice Department have not signaled a change in enforcement policy. However, on April 14, 2020, Olugbuyi allegedly filed a 1040 non-filer return reporting $1 in income for 2019 which qualified him to receive a $1,200 economic impact payment. Andrew Marnell of Los Angeles is charged with bank fraud. Antonio George of Michigan was charged in a criminal complaint with trying to obtain $3.1 million in PPP loans on behalf of 19 different companies. If your company received a PPP loan, is it at risk? As part of his guilty plea, Darrell Thomas admitted his participation in fraudulent conduct totaling more than $14.7 million, including more than $11.1 million in fraudulent PPP loans, more than $1.15 million in fraudulent Economic Injury Disaster Loans, and more than $2.4 million in fraudulent automobile loans. 1344. Check Out These 30 eCommerce Web Design Ideas, Stop Worrying About Mobile Ad Fraud Thanks to This New Tool, Shutterstock Revenue for 2015 Sees 30 Percent Increase, Pairing People with Platforms for Better CX, How to Protect Your Small Business from the Latest Scam -- A More Elaborate 419 Fraud, See the SBA website for updated forgiveness information, David Staveley, aka Kurt D. Sanborn, and David Butziger were charged with conspiring to seek over $530,000 in PPP money. Melvin Stout, his wife Tiffany Acuff and sister Valerie Watson pleaded guilty to making a false statement and obtaining loans through Paycheck Protection Program. But in this PPP fraudulent case, five individuals from three states are charged with conspiracy to fraudulently get over $4 million and misusing the proceeds. PRIDE Kickball Spring '23 League - Registration Deadline March 9th, Colony Roofers offers services in the Atlanta area, 5 Atlanta Area New Open Houses To Stop By, Jalen Carter Says He Will Be Cleared Of Wrongdoing In Fatal Crash, 3 Atlanta Farmers Markets To Shop Like A Pro, Info Here, 8 Best Places In The Atlanta Area To Take Visitors. The indictment alleges Kanan was under federal indictment on an unrelated matter at the time. Lee Price III is charged with making false statements to a financial institution, wire and bank fraud and engaging in unlawful monetary transactions. NFL Player Blows 62 Grand at the Hard Rock Casino (Florida September 10), 49. 90 PPP Applications in This Fraud Ring (Ohio and Florida August 6), 33. Besides Alicia Quarterman, 38, of Fayetteville, Georgia, and Katrina Lawson, 41, of Houston, Texas, the following individuals also participated in the scheme and are charged in the indictment: Overall, between July 1, 2020 and August 11, 2020, Quarterman sent Lawson the information for about 48 different individuals, and she allegedly completed approximately 58 fraudulent EIDL applications, seeking $490,000. The EIDL application information, submitted by the applicant, was used by SBA systems to calculate the amount of money the business was eligible to receive in the form of a loan. However, none of the businesses had any legitimate business with any of the businesses or accounts to which they sent the proceeds. Acting U.S. Attorney Audrey Strauss said, Goyal allegedly looted over $630,000 in federal funds earmarked for legitimate small businesses in dire financial straits.. Quarterman would recruit co-conspirators who would send her their personal and banking information mostly via text message, and then Quarterman would send that information to Lawson who would submit the applications to the SBA. After receiving the loans, he bought a $480,000 , spent $50,000 to $200,000 on a lost gambling bet, bought a brand new speedboat worth about $150,000, he also bought Martina D****la a $900 pair of shoes for her 23rd birthday. . Two Men, Identity Theft and a Conspiracy (Rhode Island - May 5, 2020) David Staveley, aka Kurt D. Sanborn, and David Butziger were charged with conspiring to seek over $530,000 in PPP money. Clients and prospective clients should be aware that when referencing to Firm's experience, this experience may combine the knowledge and experience of both Firm and its frequently used Local Counsel in the aggregate. Gaughan is also charged separately with allegedly embezzling $472,000 from the Catholic Archdiocese of Washington, D.C. where he previously worked. Again, thorough documentation is imperative, and companies must ensure that all relevant internal personnel are clear about the types of activities that can increase the companys risk of liability in the event of a PPP loan fraud audit or investigation. The U.S. Department of Justice say that approximately $11.1 million in PPP loans were taken and the funds were then used to buy luxury vehicles, jewelry, and other personal items. The only way to get more money than that is to either 1) claim to have employees that you didn't really have, or 2) inflate your earnings amount on the application. Whoa! Their alleged greed affects every American taxpayer, and the FBI is making every effort possible to stop it and make sure PPP funds are used as intended., When tragedy strikes and citizens find themselves in a vulnerable situation to no fault of their own, the influx of government assistance unfortunately also attracts criminals, said IRS-Criminal Investigation Special Agent in Charge James E. Dorsey. Restaurant Owner and Son Charged ( North Carolina December 17), 75. A Cessna Aircraft and a Lexus (Virginia October 20), 59. The defendants allegedly took advantage of emergency financial assistance intended for business owners suffering the economic effects caused by the COVID-19 pandemic, said Acting U.S. Attorney Kurt R. Erskine. ATLANTA Twenty-two people have been charged in a federal scheme to defraud the government from taking out false Paycheck Protection Program loans, and 11 of those people are from the metro Atlanta area. A small number of fraudulent cases was inevitable given the amazing speed with which the Paycheck Protection Program came into being. Ultimately Ugarte received funds from Transportation Alliance Bank. Jase DePaul Gautreaux aka Jase Dixon, a funeral director in Houston, is charged with seeking $13 million in loans and ultimately receiving over $1.6 million. The complaint states they received loans of $450,000 and some of the proceeds were allegedly used to purchase a Mercedes E400. On August 9, Manukyan allegedly boarded a flight from Mexico City to Belarus. The technical storage or access that is used exclusively for anonymous statistical purposes. He allegedly submitted applications on behalf of a business that did not exist and for businesses he did not own. Ophthalmologist Already Under Indictment (New York June 24), 19. Here's a list of the PPP loan prosecutions to date: 1. NFL player Joshua Bellamy was charged for his alleged role as part of a $24 million COVID-Relief scheme. The charges reinforce our resolve to prosecute anyone who used pandemic relief funds for personal gain., So many businesses needed federal emergency assistance to stay afloat during a pandemic, and these defendants allegedly misdirected millions of dollars of that assistance money to their own pockets for luxury items, said Chris Hacker, Special Agent in Charge of FBI Atlanta. A .gov website belongs to an official government organization in the United States. Man Gives 23 People Pandemic Pay, Buys House (Nevada August 26), 39. Main Office: Have we seen the last of Paycheck Protection Program PPP loan fraud prosecutions? According to Acting U.S. Attorney Erskine, the indictment, and other information presented in court: On August 11, 2020, agents with the U.S. Dinesh Sah of Dallas was indicted on charges he filed 15 fraudulent loan applications to 8 lenders in the total amount of $24.8 million. Ahmad Kanan, formerly of Madison, is charged with wire fraud and money laundering. The government wisely decided to move fast and let the justice system track down any miscreants. The False Claims Act can impose steep financial penalties, including treble damages. Related:Why the Small Business Administration loan program frustrates borrowers, Previous PPP stories:More than 5,000 PPP loans, totaling more than $200m, approved in Clarke County, Database: Click here to search our PPP loan database. Despite the fact that the Paycheck Protection Program was launched in March 2020 with the enactment of the Coronavirus Aid, Relief, and Economic Security (CARES) Act, federal authorities have already identified several hallmarks of PPP loan fraud. Rafael Maturino and Winston James were charged separately but allegedly worked together to carry out their scheme. Dwan Ashong a/k/a Dwan Gilpin, 40, of Jacksonville, Florida, is charged with conspiracy to commit wire fraud, wire fraud, and money laundering in connection with her involvement in several businesses loans. NEWNAN, Ga. - Ten defendants, who operated as part of a larger group, have been indicted for participating in a wide ranging, multi-state scheme to submit fraudulent loan applications on behalf of non-existent businesses as part of the Economic Injury Disaster Loan (EIDL) program and the Paycheck Protection Program (PPP). Elijah Majak Buoi, president of Sosuda Tech LLC, is charged with fraudulently applying for over $13 million in PPP aid. All rights reserved. One was on behalf of a company called Texas Barbecue and the other called Houston Landscaping. Consenting to these technologies will allow us to process data such as browsing behavior or unique IDs on this site. Are you personally at risk as a company owner, board member, executive? To support these payroll figures, each businesss loan application was accompanied by an Internal Revenue Service Form 941, which employers use to report payroll taxes, for each quarter of 2019 and by a bank statement or a spreadsheet reflecting payroll expenses. Our searchable databaseallows users to look up dollar allotments by industry, and lenders. The technical storage or access is necessary for the legitimate purpose of storing preferences that are not requested by the subscriber or user. Assistant U.S. Attorney Miguel R. Acosta is prosecuting the case. The charges allege he applied several times to get aid totaling $3 million, in the names of businesses with no actual operations. Ricky Dixon, 52, of Warren, Michigan, is charged with conspiracy to commit bank fraud and wire fraud, bank fraud, wire fraud, false statements to a federally insured financial institution, aggravated identity theft, and money laundering in connection with his involvement in the loan obtained by his business, RK Painting Co., and several other businesses loans. With few case-by-case exceptions, Firm's practice is limited to matters and questions of federal law and federal procedure. Austin Hsu of Issaquah, WA was charged with wire fraud in connection with fraudulently seeking over $1.1 million. Cherry was on supervised release in an unrelated federal case when he applied to the Small Business Administration program. So far, six people, including the schemes mastermind, Darrell Thomas, have pleaded guilty. Want to know if your employer got aPaycheck Protection Planor PPP loan? Rodericque Thompson allegedly recruited Micah Baisden, Travis Crosby, Keith Maloney, Tabronx Smith, and Thomas Wilson to apply for PPP loans on behalf of their respective business, per law enforcement. NINETY-NINE (99%) percent will NOT need to worry and lose sleep and that is because, The U.S. Small Business Administration is a United States government agency. Other red flags for PPP loan fraud include atypical business activities such as forming new business entities and entering into new debt obligations. Based on the investigation, none of the companies allegedly engaged in any business-related transactions or used the PPP loan proceeds for any authorized purposes. The defendants are accused of submitting at least 14 fraudulent loan applications around April-August 2020 in attempts to get more than $14.7 million, the DOJ said. is headquartered in Dallas, Texas and it only maintains a fully equipped office in Dallas and Houston. A Swimming Pool and Money Abroad (Minnesota November 16), 67. When the SBA-OIG or DOJ launches an investigation, executing an effective and timely defense is imperative. The Form 941s, bank statements, and W2 payroll spreadsheets had all been fabricated. The loan applications for each company were between $700,000 and $850,000. How to apply for a loan on your ownhttps://bench.co/blog/operations/how-to-apply-first-ppp-loan/ Moller received close to $600K in stimulus PPP loan. Robert, youre probably right about finding fraud for years to come. (PPP) and Economic Injury Disaster Loan (EIDL) COVID-19 relief funds. Walmart Project Manager (Oklahoma June 4), 10. Share sensitive information only on official, secure websites. To speak with one of our senior federal compliance and defense attorneys in confidence, call 888-680-1745 or request a free PPP risk assessment online now. Miguel R. Acosta is prosecuting the case accounts to which they sent the proceeds a fully equipped in. 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