Latest news with #PaycheckProtectionProgram
Yahoo
2 hours ago
- Yahoo
Ex-Cleveland cops charged in fraud case: I-Team
CLEVELAND (WJW) – A Cuyahoga County grand jury indicted two former Cleveland police officers for allegedly taking state Paycheck Protection Program money that they didn't deserve. Anthony Shumpert and Mackenley Weaver were indicted June 2 on felony charges of grand theft and tampering with records. I-Team: What we've learned of possible suspect in Metroparks murder According to Cuyahoga County prosecutors, Weaver claimed he owned a T-Shirt business and got approximately $20,000 in one PPP loan in April 2021, and Anthony Shumpert claimed he owned a barbershop and received about $37,000 in two PPP loans in April and May of 2021. Father found dead, daughter missing after they went hiking on mountain in Maine A Cleveland police spokesperson said both Shumpert and Weaver resigned from the department last year. Both are scheduled to be arraigned on the charges June 18. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
Yahoo
16 hours ago
- Business
- Yahoo
Ex-Hanford worker sentenced for COVID loan fraud for solar-powered wheelchair idea
A Kennewick man has been sentenced to a year and a day in prison after pleading guilty to conspiracy to commit wire fraud to obtain money through federal COVID-19 relief programs. David 'Kurt' Schneider, who wanted money to develop a solar-powered wheelchair, also is required to repay nearly $122,000 to the federal government. He was one of three people in the federal court case accused of fraudulently obtaining at least $292,000 in Coronavirus Aid, Relief and Economic Security Act, or CARES Act, funding in 2020 and 2021. Kelly Jo Driver, 43, of South Carolina, pleaded guilty to fraudulent claims and was sentenced to five years of probation but no incarceration after preparing falsified documents for Schneider and the owner of a Tri-Cities gun shop to submit with their loan applications. She also is jointly responsible with Schneider for repaying the money. Leif Gerard Larsen, the owner of Larsen Firearms in Pasco, has pleaded guilty to wire fraud and is scheduled to be sentenced July 30 in the Yakima County Courthouse. 'By stealing nearly $300,000 intended for legitimate businesses, these defendants diverted critical resources at a time when many businesses were fighting to survive,' said Rich Barker, the acting U.S. attorney for the Eastern District of Washington. The CARES Act was intended to provide emergency financial assistance to the millions of Americans who were suffering the economic effects caused by the COVID-19 pandemic. The three defendants also applied for additional payments or loans of about $563,600, but those applications were rejected, according to court documents. They included Paycheck Protection Program loans to small businesses primarily to cover worker paychecks, which were eligible to be forgiven, with no money paid back. The program also offered low-interest Economic Injury Disaster loans Schneider applied for CARES Act loans for his businesses Solar Mobility, RealNZ Water and Tempest Tactical Solutions using documents created by Driver that falsified payroll information and federal tax forms to claim he had up to 10 employees. When Schneider was asked for bank records to confirm his payroll, he said that employees of Solar Mobility, his solar wheelchair company, had asked to be paid in cash during the pandemic. Schneider and Driver also falsely claimed that RealNZ Water, a company to sell water bottled in New Zealand, had 10 employees. The Washington Department of Revenue had no records of the company existing or reporting revenue and no wages were reported to the Washington state Employment Security Department, according to a court document. Court documents also said that his business Tempest Tactical Solutions had no business operations and had only been registered with the Washington State Secretary of State to apply for CARES Act money. The only revenue Schneider reported to the Department of Revenue in 2019 and 2020 were from his wages at a Hanford nuclear site job at the vitrification plant, according to a court document. Schneider was obsessed with the development of a solar wheelchair to be used by veterans, his attorney, Deric Orr, said in a court document. He sought a contract for his invention with the U.S. Department of Veterans Affairs, thinking it would make his solar wheelchair a major success and help veterans. But he came to believe the agency was sabotaging his efforts, according to court documents. Schneider saw the loan money he falsely obtained as a way to keep his business afloat and to fight back against the perceived sabotage, his attorney said. Driver provided false documents to both Schneider and Larsen for loan applications and then received 10% of the proceeds, according to court documents. She urged the other defendants in the case to seek higher loan amounts, which also would net her more money, according to court documents filed by Eastern District of Washington U.S. Attorney's Office. Driver's attorney, Jennifer Barnes, argued that she had no criminal record and had a noncancerous tumor that could soon require treatment. Barnes asked for no incarceration. Schneider told Larsen he also could obtain loans under the CARES Act, which could be forgiven, using false payroll documents created by Driver, according to court documents. He and Driver submitted applications falsely claiming he had 10 employees at Larsen Firearms and Larsen Gunsmithing & Firearms, according to court documents. He withdrew one application after being interviewed by federal agents. He received a loan of nearly $150,000 for the other application, according to court documents. Larsen is scheduled to be sentenced July 30 in the Yakima U.S. Courthouse. The case was investigated by the Eastern District of Washington COVID-19 Fraud Strike Force, the Federal Bureau of Investigation and the Small Business Administration Office of Inspector General. It was prosecuted by Assistant U.S. Attorneys Jeremy Kelley and Frieda Zimmerman. U.S. Judge Stanley Bastian in Yakima sentenced Schneider and Driver.
Yahoo
a day ago
- General
- Yahoo
Broward Judge Mardi Levey Cohen receives public reprimand, 10-day suspension
The Florida Supreme Court on Tuesday publicly reprimanded Broward County Judge Mardi Levey Cohen after an investigation into allegations that she acted improperly during a 2022 re-election campaign. Levey Cohen, who also received a 10-day suspension, appeared before justices for the reprimand. The Supreme Court last month approved an agreement, known as a stipulation, reached by Levey Cohen and the state Judicial Qualifications Commission, which investigates judicial conduct. A filing at the Supreme Court said Levey Cohen was accused, in part, of forwarding an email about her election opponent to a representative of the Wynmoor Condominium Democratic Club 'without verifying the accuracy of the claims.' The information, for example, included an accusation that Levey Cohen's opponent obtained money from the federal Paycheck Protection Program during the COVID-19 pandemic when she did not qualify. Also, a May 8 Supreme Court order said Levey Cohen filed an Internal Revenue Service complaint challenging the tax-exempt status of a church where her opponent campaigned. The order said Levey Cohen sent a copy of the complaint to the church with a false return address, 'suggesting that the correspondence was from the IRS itself.' Chief Justice Carlos Muniz said during Tuesday's reprimand that misconduct poses a risk to public confidence in the judiciary. 'Any unethical behavior by a judge — including in a campaign setting — puts that trust at risk,' Muniz said.
Black America Web
a day ago
- Business
- Black America Web
Famous Figures Who Got Charged with PPP Loan Fraud
Source: Paul Archuleta / Getty The Paycheck Protection Program was meant to help small businesses survive the pandemic. Instead, some well-known names used it to cash in. And a lot of them got caught. When COVID-19 shut the country down, the U.S. government launched the PPP to keep workers paid and businesses afloat. But the fast rollout came with little oversight. That gap created an opening. Scammers jumped in. Among them? Some famous faces who saw an opportunity to cheat the system. Federal investigators tracked down hundreds of fraudsters. Many quietly settled. Others made headlines. In addition to the list below, high-profile musicians Lil Wayne and Chris Brown did find themselves wrapped in scrutiny surrounding the appropriation of their COVID-19 relief funds. Though they certainly weren't the only ones. Lil Wayne Lil Wayne's company, Young Money Touring Inc., received an $8.9 million SVOG grant intended to support live entertainment businesses impacted by the pandemic. Reports indicate that the funds were used for various personal expenses, including: Over $1.3 million on private jet flights More than $460,000 on designer clothing Approximately $2 million to settle a debt with his former manager Nearly $88,000 billed for a canceled New Year's Eve performance While these expenditures have raised questions about the appropriate use of relief funds, there have been no formal charges filed against Lil Wayne regarding PPP loan fraud. Chris Brown Chris Brown's touring company, CBE Touring, reportedly secured a $10 million SVOG grant. Allegations suggest that Brown personally received $5.1 million of this amount and spent nearly $80,000 on a lavish birthday party, which included expenses for models, an LED dance floor, and other luxury items. Despite public criticism over the use of these funds, Chris Brown has not been charged with any crimes related to PPP loan fraud. From reality TV stars to pro athletes and social media influencers, these high-profile figures now face criminal charges, massive fines, or even prison time. Their cases raise big questions: How did they slip through? Who helped them? And what comes next? Here's a breakdown of the most notorious celebrity PPP fraud cases. And how each one unraveled. Supreme Court Blocks Order To Rehire Federal Workers Why Iman Shumpert Is Asking The Court to Jail Teyana Taylor Offset Seeks Spousal Support From Cardi B in Ongoing Divorce Famous Figures Who Got Charged with PPP Loan Fraud was originally published on Reality TV stars from Chrisley Knows Best , convicted in 2022 of defrauding banks out of over $30 million and evading taxes. A pastor from Raleigh, North Carolina, Mitchell Summerfield pleaded guilty to conspiracy to commit bank and wire fraud after securing over $400,000 in fraudulent PPP loans. Known from Love & Hip Hop: Atlanta , sentenced to over 17 years for bank fraud after misusing over $2 million in PPP funds on luxury items and a Ponzi scheme. Former NFL player, sentenced to over three years in prison for illegally receiving over $1 million in COVID-19 relief money. Member of the R&B group Pretty Ricky, sentenced to 20 months in prison for his role in a $24 million COVID-19 relief fraud scheme. Former Olympic speed skater, convicted of fraudulently applying for $10 million in PPP loans for a film production company with no employees. Former lawyer, served time for PPP loan fraud after falsely claiming expenses for a nonprofit organization. Miami man, charged with fraudulently obtaining $3.9 million in PPP loans and using the funds to buy luxury items. Houston man, sentenced to over nine years in prison for obtaining over $1.6 million in PPP loans and spending on personal expenses. Leader of a Los Angeles-based fraud ring, sentenced to 17 years for stealing $18 million in PPP funds. Member of the same fraud ring as Ayvazyan, sentenced to over 10 years for her role in the scheme. Also part of the Los Angeles fraud ring, sentenced to six years in prison for PPP loan fraud. Former TV news anchor indicted alongside her husband for allegedly submitting false PPP loan applications, obtaining $300,000 personally, and profiting nearly $300 million through their company, Blueacorn. Charlotte City Council member indicted for fraudulently obtaining over $124,000 in federal COVID-19 relief funds through the PPP and EIDL programs. Former Assistant Atlanta City Attorney and police officer charged with conspiracy to commit wire fraud and money laundering after allegedly obtaining over $7 million in PPP loan funds. Former Kansas state legislator sentenced to 27 months in federal prison for fraudulently obtaining COVID-19 relief funds through the PPP and EIDL programs. Black America Web Featured Video CLOSE
Yahoo
2 days ago
- Business
- Yahoo
Southfield doctor convicted of bank fraud after securing $1.7M PPP loan
The Brief A jury has found a Southfield doctor guilty of bank fraud after he obtained a loan for a start-up business. Doctor Reginald Eburuche fraudulently received a Paycheck Protection Program loan during the pandemic for a business he had previously failed to secure financing for, the jury found. He also created faulty tax documents and inflated the number of employees on the company's payroll, the U.S. Attorney's Office said. (FOX 2) - A Southfield doctor has been convicted of bank fraud for illegally obtaining a $1.7 million loan for a business using a Covid-era financing option. Reginald Eburuche was found guilty of bank fraud by a federal jury, the U.S. Attorney for the Eastern District of Michigan announced. Big picture view Southfield-based doctor Reginald Eburuche fraudulently obtained a loan through the federal Paycheck Protection Program in July 2020, a jury concluded last week. Announcing the conviction over the weekend, the U.S. Attorney's office said Eburuche applied for a $1.7 million PPP loan to pay for his start-up business, Renovis Healthcare. After failing to obtain a line of credit for the venture, he applied for the loan, lying about the number of employees on the payroll as well as uploading fraudulent tax documents. He was found guilty by jury trial on May 29. What they're saying "When a licensed professional chooses fraud over integrity, the harm runs deeper than dollars," said U.S. Attorney Jerome Gorgon. "Dr. Eburuche stole money meant to keep workers afloat during a time of crisis. This Office will continue to pursue those who exploited these programs for personal gain." The Source Reporting for this story included details from a press release issued by the U.S. Attorneys office was
