A Cincinnati man has been sentenced to over a year in prison after pleading guilty to fraudulently obtaining pandemic relief funds. Kipterrez James, 44, garnered a 13-month sentence for claiming to operate a taxi/rideshare business and securing nearly $21,000 in Paycheck Protection Program (PPP) loans, which he later spent on personal luxuries including a trip to Las Vegas. The U.S. Attorney's Office, Southern District of Ohio, announced the sentencing.
According to a press release from the U.S. Department of Justice, the fraudulent activity occurred when James was at a halfway house following his release from a federal prison term for illegal firearm possession. James listed the halfway house on his PPP loan application as his address. He falsified his business income, asserting that he had made approximately $99,000 in 2019 when, in fact, he was incarcerated at the time.
A forged bank statement supported James' fraudulent claim. After receiving the funds, he spent the money shopping at clothing, shoe, and liquor stores and dining out. The court has ordered James to pay back the $20,725 in restitution.
James pleaded guilty to making false statements to the federal government in September 2024. The case reflects ongoing efforts to pursue those who exploited federal assistance programs established to help businesses navigate the economic turmoil caused by the COVID-19 pandemic.
