A Lubbock woman has been handed a 30-month sentence for her role in a Paycheck Protection Program (PPP) loan fraud scheme. The U.S. Attorney’s Office for the Northern District of Texas revealed on Thursday that Hope Leticia Hastey, 51, concealed fraudulent activities that led to the theft of millions of dollars intended to help businesses during the COVID-19 pandemic. Hastey was also ordered to pay restitution totaling over $3.5 million, according to the Department of Justice.
Documents from Hastey's plea indicate she played a part in securing fraudulent PPP loans through her business, Radar Supports, and its non-profit counterpart, Radar Foundations. Hastey failed to ever properly notify the authorities about these criminal undertakings, instead choosing to actively conceal the fraud. Sentencing for the case was carried out by U.S. District Judge James Wesley Hendrix. The plea documents in detail how Hastey and her accomplice, Andrew Travis Johnson, managed to successfully obtain nearly $3.5 million through their scheme.
Johnson, 59, was previously sent to federal prison for 180 months after he pleaded guilty to multiple counts, including bank fraud and identity theft. His activities primarily revolved around inflating payroll data and fabricating records to secure five PPP loans, which were all later forgiven. The fallout from Hastey's actions saw her dive into a spending spree that spanned from home purchases to seemingly frivolous luxury expenditures.
The investigation into Hastey's concealment was spearheaded by the Federal Bureau of Investigation, Internal Revenue Service's Criminal Investigation Division, and Homeland Security Investigations. Assistant U.S. Attorney Ann Howey was tasked with prosecuting the case, while Assistant U.S. Attorney Saurabh Sharad oversaw the forfeiture proceedings. Court documents reveal that Hastey egregiously used the funds for personal benefits including purchasing vehicles, funding home renovations, and covering lavish wedding expenses, instead of providing the necessary economic relief intended by the PPP loans.
