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Fraud

Federal Indictment Unsealed Against Individual for COVID-19 Relief Loan Fraud

Strategic Insights

— 1 min read

A federal indictment was unsealed, charging Jabari Kadar Long with defrauding the U.S. Small Business Administration (SBA) by submitting fraudulent loan applications to the Paycheck Protection Program (PPP) and Economic Injury Disaster Loans (EIDL) during the coronavirus pandemic. The indictment alleges that Long, 45, conspired with others to obtain money through PPP and EIDL applications for businesses ineligible for such loans. Long allegedly received $3 million from these programs, claiming a business had 50 employees and an average monthly payroll of $875,000, when in truth, it had few or no employees and little to no payroll expenses. The case is being prosecuted by Assistant United States Attorney Sara D. Woodward.

Key Takeaways:

  • Jabari Kadar Long, 45, has been charged with one count of conspiracy to commit wire fraud, one count of wire fraud affecting a financial institution, and one count of money laundering.
  • The indictment alleges that Long and co-conspirators submitted fraudulent loan applications to the Paycheck Protection Program (PPP) and Economic Injury Disaster Loans (EIDL) during the coronavirus pandemic.
  • Long allegedly received $3 million from these programs by claiming that a business had 50 employees and an average monthly payroll of $875,000, when in truth, it had few or no employees and little to no payroll expenses.
  • The case is being investigated by Homeland Security Investigations and the Internal Revenue Service.
  • The matter is being prosecuted by Assistant United States Attorney Sara D. Woodward.
  • The indictment has been unsealed, but Long is presumed innocent until proven guilty.

Statistics:

  • $3 million: the total amount allegedly received by Long from fraudulent loan applications.
  • 50: the number of employees allegedly claimed by Long for the business "Priceless Preservations Construction".
  • $875,000: the average monthly payroll allegedly claimed by Long for the business "Priceless Preservations Construction".
  • 45: the age of Jabari Kadar Long.

Sources:

  • U.S. Attorney's Office, Department of Justice
  • Assistant United States Attorney Sara D. Woodward
  • Homeland Security Investigations
  • Internal Revenue Service-Criminal Investigations Detroit Field Office

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