Neil Alan Johnson, a 44-year-old Lehi resident, has faced the gavel for siphoning off more than $300,000 in COVID-19 relief funds. Johnson was sentenced to a five-year probationary period on top of a hefty repayment bill totaling $324,519 in restitution and forfeiture, after admitting to charges of wire fraud back in February of this year.
Details from the Department of Justice reveal that Johnson's schemes kicked off in March 2021 and continued through November 2022. Putting pen to paper, Johnson filled out Paycheck Protection Program (PPP) loan applications with fabricated details, claiming that his home-based business, which bore his name, supported a team of 21 employees and a monthly payroll of nearly $130,000. Such figures were far removed from his company's truth, the Department of Justice reports.
Johnson's deceit didn't end at the application stage. Following the approval and disbursement of PPP funds meant to buoy American companies and their employees amid the pandemonium of the pandemic, he filed for loan forgiveness, asserting once again falsehoods about payroll expenses. This time, Johnson alleged his business shelled out over $352,000 in wages, using every penny of the PPP loan to cover these costs.
The reality of Johnson's financial maneuverings tells a different story, one where over $102,000 of the government loan serviced the personal expense of repurchasing his house, while an additional $39,000-plus found its way into an unrelated account, as per the U.S. Department of Justice.
With an announcement from United States Attorney Trina A. Higgins of the District of Utah, the sentencing marks the culmination of efforts by the Utah Federal COVID-19 Fraud Strike Force. Member agencies such as Homeland Security Investigations, the FBI, and various Offices of Inspector General played roles in untangling Johnson's fraudulent claims, reflecting a broader commitment to holding accountable those who sought personal gain from nationally allocated support funds.
The prosecution was helmed by Assistant United States Attorney Todd C. Bouton from the U.S. Attorney's Office for the District of Utah. Meanwhile, the public remains vigilant and is prompted to report any suspected abuse of the Paycheck Protection Program or other SBA programs directly through a dedicated complaint submission process.
