Sc Man Charged of COVID-19 Relief Fraud – Department of Justice

A federal jury in Atlanta charged a Sc man today of fraudulently acquiring a $300,000 forgivable Paycheck Protection Program (PPP) loan guaranteed through the Sba (Small business administration) underneath the Coronavirus Aid, Relief, and Economic Security (CARES) Act.

Based on court papers and evidence presented at trial, Travis Crosby, 32, of Wellford, conspired to submit a PPP application for the loan with respect to Crosby’s company, Faithful Transport Services LLC (Faithful Transport). The borrowed funds application falsely inflated the amount of employees and average monthly payroll for Faithful Transport, inducing a bigger PPP loan than Crosby could legitimately obtain. Crosby along with a co-conspirator also caused the submission of the forged tax document to aid the false statements within the application for the loan. Crosby then involved in a number of sham transactions with assorted individuals to really make it appear he was having to pay them payroll for work on Faithful Transport when, the truth is, these people came back most the funds to Crosby.

Crosby was charged of conspiracy to commit bank fraud, bank fraud, creating a false statement to some bank, and cash washing. He’s scheduled to become sentenced on Jan. 10, 2023, and faces an optimum penalty of 3 decades imprisonment for conspiracy to commit bank fraud, bank fraud, and creating a false statement to some bank, and twenty years for the money washing. A federal district court judge determines any sentence after thinking about the U.S. Sentencing Guidelines along with other statutory factors.

Crosby may be the eleventh defendant to become charged included in the Justice Department’s prosecution of the $3 million, Atlanta-based PPP fraud ring. Formerly, 10 other people from the plan were billed through the Fraud Section and also the U.S. Attorney’s Office for that Northern District of Georgia. Other defendants pleaded guilty just before trial. Up to now, government bodies have retrieved roughly $1.two million from the stolen money.

Assistant Attorney General Kenneth A. Polite, Junior. from the Justice Department’s Criminal Division U.S. Attorney Ryan K. Buchanan for that Northern District of Georgia Assistant Director Luis Quesada from the FBI’s Criminal Investigative Division Special Agent in control Amaleka McCall-Brathwaite from the U.S. Sba, Office of Inspector General (Small business administration-OIG) and Special Agent in control Mark Morini Junior. from the U.S. Treasury Inspector General for Tax Administration (TIGTA) made the announcement.

The FBI Atlanta Field Office the Small business administration-OIG and also the TIGTA investigated the situation.

Trial Attorney Matthew Reilly from the Criminal Division’s Fraud Section and Assistant U.S. Attorney Christopher J. Huber for that Northern District of Georgia are prosecuting the situation and Trial Attorney Michael P. McCarthy from the Criminal Division’s Fraud Section and Special Assistant U.S. Attorney Diane D. Schulman for that Northern District of Georgia provided significant assistance.

Because the beginning from the CARES Act, the Fraud Section has prosecuted over 150 defendants in additional than 95 criminal cases and it has grabbed over $75 million in cash proceeds produced from fraudulently acquired PPP funds, in addition to numerous property qualities and luxury products purchased with your proceeds. More details are available at&nbsphttps://world wide

On May 17, 2021, the lawyer General established the COVID-19 Fraud Enforcement Task Pressure to marshal the sources from the Department of Justice together with agencies across government to boost efforts to combat and stop pandemic-related fraud. The Job Pressure bolsters efforts to research and prosecute probably the most culpable domestic and worldwide criminal actors and assists agencies given the job of administering relief programs to avoid fraud by augmenting and incorporating existing coordination mechanisms, identifying sources and methods to discover fraudulent actors as well as their schemes, and discussing and harnessing information and insights acquired from prior enforcement efforts. For additional info on the department’s reaction to the pandemic, check out https://world wide

Anybody with details about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline through the NCDF Web Complaint Form at https://world wide