Three employees of the Department of Veterans Affairs in Illinois have been indicted for allegedly defrauding the Paycheck Protection Program (PPP), a relief initiative designed to help small businesses during the COVID-19 pandemic. The employees, according to federal prosecutors, secured thousands of dollars in loans by making false claims.
Katherine Liggins and Eric Scott face charges of wire fraud and making false statements, each allegedly pocketing $20,000 in fraudulent PPP loans. Tamika Wilson, who faces more serious charges, is accused of receiving $40,000 through similar fraudulent claims. In addition to wire fraud, Wilson is charged with submitting false documents to back up her loan applications.
The scheme was uncovered as part of a broader investigation into fraud within federal relief programs. Prosecutors allege that the employees used misinformation to apply for and receive loan forgiveness, further compounding the fraud. “These indictments send a clear message that VA employees will be held accountable if involved in fraudulent activities,” said Special Agent in Charge Gregory Billingsley.
U.S. Attorney Rachelle Aud Crowe emphasized the importance of holding accountable those who took advantage of programs meant to support struggling businesses. If convicted, the employees could face up to 20 years in prison for wire fraud and five years for false statements.
While the charges are serious, it’s essential to remember that the accused are presumed innocent until proven guilty. The indictments represent a significant step in holding those accountable who sought to exploit pandemic relief efforts for personal gain.
