Federal prosecutors say a Jacksonville landlord turned a pandemic lifeline into his own revenue stream, using bogus paperwork to tap into rental aid that was meant to keep struggling tenants housed.
Edward Malone, identified in court records as the owner of multiple residential and commercial properties in Jacksonville, was indicted in federal court on May 27, 2026, on two counts of wire fraud. The indictment alleges he used false landlord applications to collect COVID-era rental assistance that should have gone to tenants, funneling roughly $54,100 in Emergency Rental Assistance Program funds into his bank accounts.
Indictment details
According to News4JAX, prosecutors in the U.S. District Court for the Middle District of Florida allege Malone submitted about nine fraudulent landlord applications and nine fraudulent lease documents, doing so both personally and through his company, Rags II Riches Consulting Inc.
The indictment focuses on two specific wire transfers: about $14,400 sent on or about May 19, 2021, and about $15,100 sent on or about Sept. 7, 2021. Both transfers allegedly went to a Jacksonville bank account ending in 5700. Prosecutors say those transfers were part of a broader scheme that ran from roughly April through October 2021 and ultimately steered approximately $54,100 in ERAP funds into Malone's accounts.
How ERAP was supposed to work
The Emergency Rental Assistance Program was created by Congress and later expanded under the American Rescue Plan to channel federal aid to local programs that pay past-due rent on behalf of landlords and tenants. Under federal guidance, grantees are instructed to guard against fraud and to recover improper payments when possible.
The U.S. Department of the Treasury has issued detailed guidance and FAQs for ERAP grantees about how to prevent, detect and report suspected misuse of rental assistance funds.
Local enforcement push
The Middle District of Florida has made pandemic-era fraud a priority, leaning on a COVID-19 Fraud Task Force that has gone after dozens of cases tied to Paycheck Protection Program loans, Economic Injury Disaster Loan funds and Emergency Rental Assistance money. Officials say the coordinated effort has recovered millions of dollars in allegedly ill-gotten proceeds.
Federal and local law enforcement agencies in the district have been working cases jointly as part of the task force strategy, which focuses on rooting out schemes built around various pandemic relief programs. U.S. Attorney's Office, Middle District of Florida (PDF).
What happens next
As reported by News4JAX, prosecutors have indicated they may seek forfeiture of at least $54,100 that Malone allegedly obtained through the charged scheme.
If he is convicted on the wire fraud counts, Malone would face federal penalties that can include prison time and fines. Each count of wire fraud carries a maximum sentence of up to 20 years under 18 U.S.C. § 1343, according to the Legal Information Institute. The case will continue in the Middle District of Florida, where the court will set the pretrial schedule and handle any motions as the proceedings move forward.
