Texas Woman Sentenced to 3 Years and 5 Months in Prison for PPP Loan Fraud Scheme

Strategic Insights -

A Texas woman, Shantelle Hawkins, was sentenced to three years and five months in prison for her involvement in a scheme to file fraudulent applications for loans under the Paycheck Protection Program (PPP). Between May 2020 and March 2021, Hawkins submitted 17 false PPP loan applications on behalf of companies she owned or controlled, using the funds for personal expenses such as buying a luxury car and property. Hawkins pleaded guilty to conspiracy to commit wire fraud and was ordered to pay over $1.8 million in restitution.

Key Takeaways:

  • Shantelle Hawkins, a 43-year-old Texas woman, was sentenced to 3 years and 5 months in prison for conspiring to submit fraudulent PPP loan applications.
  • Between May 2020 and March 2021, Hawkins submitted 17 false PPP loan applications on behalf of companies she owned or controlled.
  • The applications contained false statements about payroll and tax information, which were used to calculate the amount of PPP funds to which the applicant-companies would be entitled.
  • Hawkins used some of the loan money to pay for personal expenses, including buying a 2015 Maserati Ghibli luxury car.
  • She also purchased property in the greater Dallas area using the funds.
  • Hawkins pleaded guilty to conspiracy to commit wire fraud on October 8, 2024.
  • She was ordered to pay over $1.8 million in restitution and to forfeit the residence purchased with proceeds from the fraud.
  • The case was investigated by the FBI and was prosecuted by the Justice Department's Criminal Division, with assistance from the FBI's Dallas Field Office and the Northern District of Texas.

Statistics:

  • 17: The number of fraudulent PPP loan applications submitted by Hawkins on behalf of companies she owned or controlled.
  • May 2020 to March 2021: The time period during which Hawkins submitted the false loan applications.
  • $1.8 million: The amount of restitution Hawkins was ordered to pay.
  • 3 years and 5 months: The length of the prison sentence Hawkins received.

Sources:

  • U.S. Department of Justice
  • Federal Bureau of Investigation (FBI)
  • Small Business Administration (SBA)
  • Paycheck Protection Program (PPP)
  • Coronavirus Aid, Relief, and Economic Security Act (CARES Act)