A Placer County man admitted defrauding the U.S. government of nearly $1.5 million in COVID-19 relief loans, which he spent on a lavish lifestyle instead of supporting his businesses. Jedrek Upton, 45, of Lincoln, pleaded guilty to wire fraud and money laundering, the U.S. Attorney’s Office reported.
Upton’s fraud occurred from January 2021 to May 2022, during which he falsified loan applications for disaster relief funds. He claimed his businesses had employees and payroll expenses that did not exist. Instead of using the funds to support his business, Upton spent the money on personal expenses, the U.S. Attorney’s Office reported.
Investigators found that Upton spent the loan money on personal expenses, including credit card payments, transfers to others, and leasing luxury cars like a Ferrari and a Lamborghini. He also made a $2.7 million down payment on a 10-acre property, according to the official charges.
As part of his guilty plea, Upton must forfeit the estate and repay $1.5 million in restitution. His sentencing is scheduled for March 24, 2026. He faces up to 20 years for wire fraud and 10 years for money laundering, with each count carrying a possible $250,000 fine. Senior U.S. District Judge John A. Mendez will determine the final sentence based on federal guidelines and statutory factors.
