Fifteen individuals, primarily hailing from Texas and one from Louisiana, have been formally charged for their involvement in a fraud scheme aimed at government aid programs. The allegation is they used falsified documents to illegally obtain Paycheck Protection Program loans and unearned unemployment benefits. According to the U.S. Attorney's Office for the Southern District of Texas, revealed in an announcement that the schemes involved Ebone Myrriah Mott of Houston and 14 others who seemingly orchestrated a plot to enrich themselves through deception.
The charges stem from an 18-count indictment that was returned on March 4, as disclosed by U.S. Attorney Nicholas J. Ganjei. Mott, alleged to be at the center of the operation, has been accused of creating fake companies, preparing falsified records, and submitting loan applications to essentially defraud aid programs. The conspirators were said to have paid Mott around $200 upfront, along with a cut of 10% from the received funds—a detail made clear in the charges. The U.S. Department of Justice states that the Small Business Administration, relying on these fraudulent applications and records, disbursed funds based on the deceitful claims.
The five recently apprehended individuals—Brittany Garner-Richard, Miguel Bell, Candace Booker, Andrea King, and Joshe Johnson—are scheduled to make their initial appearances before U.S. Magistrate Dena Hanovice Palermo. This comes after a coordinated effort that saw various suspects taken into custody between March 23 and 26. The group faces serious charges, with Mott specifically charged with one count of conspiracy to commit wire fraud and 17 counts of wire fraud.
In total, those indicted, if convicted, could face up to 20 years in federal prison along with a $250,000 fine. PPP loans, as a part of the Coronavirus Aid, Relief and Economic Security (CARES) Act, were designed as a lifeline for struggling businesses during the pandemic, while unemployment benefits provide financial assistance to individuals who have lost their jobs through no fault of their own. The investigative efforts were shared among the Department of State - Diplomatic Security Service, the Department of Labor - Office of Inspector General, and the California Employment Development Department, with Assistant U.S. Attorney Michael Day leading the prosecution.
