In a substantial fraud case resolution, South Florida's Q Link Wireless and its CEO, Issa Asad, have faced stern legal consequences for defrauding government programs. According to the U.S. Attorney's Office for the Southern District of Florida, the telecom company will pay over $109 million in forfeiture and Asad is hit with a five-year prison sentence.
After a thorough investigation, Asad, 51, and his company were sentenced for scheming to steal from the Lifeline federal program, which subsidizes phone service to low-income people. They have agreed to pay $109,637,057 in restitution to the Federal Communications Commission (FCC). Additionally, separately sent by Asad, $1,758,339.25 will be paid in restitution to the U.S. Small Business Association, coupled with a forfeiture judgment against him of $17,484,118.00.
The fraud involved creating and reporting false information about Q Link's Lifeline customers and manipulating cellphone activity to falsely claim government subsidies. U.S. Attorney Hayden P. O’ Byrne, representing the Southern District of Florida, condemned the actions, stating, "Issa Asad and his company, Q Link Wireless, deliberately scammed two vital government programs aimed at supporting people and companies in economic distress." Asad also misused funds from the Paycheck Protection Program (PPP) by inflating claims about Q Link's financial distress due to the pandemic.
Insisting justice to be served, Executive Special Agent in Charge Kareem Carterof the IRS - Criminal Investigation (IRS-CI) emphasized the importance of accountability, saying, "Mr. Asad prioritized his own greed, stealing $100 million from taxpayers. Today’s sentencing sends a clear message that our Global Illicit Financial Team and our law enforcement partners remain vigilant and will vigorously pursue those who attempt to enrich themselves through fraudulent means," according U.S. Attorney's Office.
The case is dubbed the largest criminal matter involving the FCC and the biggest criminal plea deal in the history of Southern District of Florida. Investigations were conducted by the FCC-OIG, USPIS, IRS-CI’s Global Illicit Financial Team, and Special Inspector General for Pandemic Recovery (SIGPR), while Assistant U.S. Attorneys Elizabeth Young and John Shipley prosecuted the case, with Assistant U.S. Attorneys Joshua Pastor and Mitch Hyman handling asset forfeiture, and Assistant U.S. Attorney Danielle Croke responsible for restitution.
