Brandi Jarrow, also known as Brandon Jarrow, aged 33, from New Orleans, has pleaded guilty to committing fraud under the Coronavirus Aid, Relief, and Economic Security Act (CARES Act). She admitted to theft of government funds and making false statements in an effort to illegally obtain loans aimed to help small businesses during the pandemic. The CARES Act had been introduced to provide financial support through programs like the Paycheck Protection Program (PPP) and the Economic Injury Disaster Loans (EIDL), as small businesses grappled with the economic fallout of COVID-19.
According to the U.S. Department of Justice in a press release, on June 20, 2020, Jarrow fraudulently applied for an EIDL on behalf of a business, which led to her illegally acquire $95,000 in government funds. Additionally, she was reported to quickly make false statements, on February 4, 2021, to an approved lender to secure a PPP loan for another sham business totaling $20,833.
Jarrow's sentencing is scheduled for August 13. She faces serious consequences, including the possibility of up to five years in prison for the false statement counts and up to ten years for the theft of government funds count. Furthermore, each of these counts carries the potential for a fine of up to $250,000, up to three years of supervised release, and a mandatory special assessment fee of $100.
The Acting U.S. Attorney Michael M. Simpson, while acknowledging the investigative efforts of the U.S. Treasury Inspector General for Tax Administration - Office of Inspector General, pointed out the severity of the offense. Assistant U.S. Attorney Edward J. Rivera, belonging to the Financial Crimes Unit, is spearheaded to handle the prosecution. For individuals seeking information on the Department of Justice's pandemic response or wishing to report COVID-19 related fraud, resources are available through their official website. This case reminds us to remain vigilant and to report any suspected fraudulent activities to the proper authorities, safeguarding the integrity of aid programs designed to help those truly in need during challenging times.
