Daniel Olivar, a 44-year-old boxing gym owner, has recently pled guilty to four counts of wire fraud for a most troubling offense: exploiting the tragic circumstances of the Coronavirus Aid, Relief, and Economic Security (CARES) Act to defraud and obtain loans unlawfully. The U.S. Attorney's Ofice provides the harrowing details of this intricate scheme, which ultimately earned Olivar a date in court.
Olivar, the owner of Sonny's Boxing and Fitness, Inc. in Middleton, Massachusetts, engaged in fraudulent activities to obtain CARES Act Business loans since at least 2019. By deliberately submitting false applications to the United States Small Business Administration (SBA), Olivar managed to secure an Economic Injury Disaster Loan (EIDL) as well as a loan from the Payroll Protection Program (PPP). As if this were not enough, he also filed a deceitful claim for unemployment benefits with the State of Massachusetts, claiming that he was laid off from Gold's Gym. From January 2020 until at least May 2021, Olivar received these unwarranted benefits, as reported by The U.S. Attorney's Ofice.
The consequences of Olivar's malfeasance are dire: the charge of wire fraud provides for a sentence of up to 20 years in prison, three years of supervised release, and a fine of up to $250,000. On September 1st, 2023, Olivar stood in front of U.S. District Court Judge Indira Talwani and faced the outcomes of his actions, with his sentencing scheduled for December 6th, 2023.
Pandemic-related fraud has not gone unnoticed by the federal government - Acting United States Attorney Joshua S. Levy and Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division announced the case. Furthermore, the Attorney General established the COVID-19 Fraud Enforcement Task Force on May 17th, 2021, in an effort to address and prevent such crimes. Comprising a partnership of agencies, the Task Force aims to investigate and prosecute the most culpable domestic and international criminal actors involved in pandemic-related fraud. Using shared information and insights gained from previous enforcement efforts, the group works tirelessly to ensure such fraudulent perpetrators do not go unpunished.
For those who believe they may have information or suspicions about attempted fraud involving COVID-19, the Department of Justice encourages reporting to the National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or by submitting the NCDF Web Complaint Form online at Justice.gov.
