Spencer Askew, a Georgia businessman and former CEO of E-Freight Solutions Worldwide, LLC, has admitted to his role in a bank fraud scheme and for making false statements to the Department of Veterans Affairs. The plea was entered last week, as confirmed by the U.S. Attorney's Office for the Northern District of Georgia. Askew's fraudulent activities involved obtaining a $1 million line of credit and falsely claiming the ability to provide the VA with KN95-like masks during the height of the COVID-19 pandemic.
"Askew can no longer avoid the consequences of engaging in a fraudulent scheme that resulted in the loss of millions of dollars," said Acting U.S. Attorney Richard S. Moultrie, Jr., in a statement obtained by the U.S. Attorney's Office. Moultrie also noted the unwavering commitment of their office to work alongside agency partners to combat all forms of fraud and deception. Similarly, the FDIC Office of Inspector General highlighted their dedication to diligently investigate and hold accountable those who commit offenses that threaten the integrity of financial institutions.
The details of the case reveal that Askew deceitfully obtained the line of credit by pitching it as a means to acquire a separate logistics company, ultimately submitting materially false information about the financial status of Techknowlogi Holdings, LLC. He had founded this entity earlier, but it conducted little to no actual business. In addition to bank fraud, Askew attempted to exploit VA programs by lying about his ability to supply protective equipment during the pandemic. Special Agent in Charge David Spilker, from the VA Office of Inspector General's Southeast Field Office, underscored the egregious nature of these actions, affirming their resolve to uncover and prosecute such schemes.
Askew was indicted by a federal grand jury in April 2023, and after being arrested the following year, he agreed to pay over $6 million in restitution as part of the plea agreement. His sentencing is set for May 15, before Chief U.S. District Judge Timothy C. Batten, Sr. As reported, Assistant U.S. Attorney Alex R. Sistla is the lead prosecutor on the case, which is the result of an investigation by the FDIC Office of Inspector General and the U.S. Department of Veterans Affairs, Office of Inspector General. For more details, the public may contact the U.S. Attorney's Public Affairs Office or visit their official website.
