A D.C. consultant has pleaded guilty to defrauding the U.S. government out of $1.5 million in loans meant for businesses struggling during the COVID-19 pandemic. Jennifer May, 43, admitted to one count of wire fraud, a plea that was set before U.S. District Court Judge Christopher R. Cooper. As reported by the U.S. Attorney's Office, her sentencing is now scheduled for December 9, 2025.
May, as the founder and owner of Next Level Partners LLC, inaccurately claimed to the federal government that the use of loan proceeds was solely for business-related purposes. This claim was quickly proven to be false post-investigation. According to documentation from the court, she sought to significantly increase her original loan amount in October 2021 by requesting an additional $1,500,000 for her company. These funds, part of the Economic Injury Disaster Loans (EIDL) program, were supposed to help small business owners keep up with operational costs during the pandemic downturn.
The Small Business Administration designed the EIDL to be a lifeline for those hit hardest by the pandemic, offering low-interest loans to cover essential business expenses like payroll and rent. May, however, had other plans, diverting the funds to try to personally gain from cryptocurrency speculation, amongst other unrelated business ventures, far removed from the intended purpose of the aid.
Justice was served as the U.S. Postal Inspection Service sniffed out the malfeasance, leading to a prompt investigation. Assistant U.S. Attorney Will Hart of the Fraud, Public Corruption, and Civil Rights Section has been tasked to effectively prosecute this case. The plea agreement demands May to repay the full $1.5 million purloined from the federal program; a commitment she tentatively agreed to, as "pleaded guilty to an Information charging her with one count of wire fraud" notes the U.S. Attorney's Office.
This case serves as a cautionary tale for those thinking of exploiting governmental support programs. As intended targets still struggle to rebuild in the aftermath of the pandemic, this particular act of wire fraud undercuts the integrity of initiatives set up to sustain the very fabric of our small business community.
