Tennessee man gets 60-plus months in prison for COVID relief fraud

2024-12-26 00:25:02 source:lotradecoin identity category:Finance

OXFORD, Miss. (AP) — A Tennessee man was sentenced Tuesday to more than five years in prison for his role in a scheme to defraud the Small Business Administration during the height of the COVID-19 pandemic by submitting fake loan applications and ultimately receiving more than $11 million.

Norman Beckwood, 29, of Memphis, entered a guilty plea to one count of conspiracy to commit wire fraud, the U.S. Attorney’s Office for Mississippi’s Northern District said in a news release. U.S. District Judge Sharion Aycock then sentenced Beckwood to 62 months in prison followed by five years of supervised release. He also was ordered to pay $10,620,452 in restitution to the Small Business Administration, the office said.

In addition, Beckwood also forfeited more than $700,000 in cash and two luxury vehicles.

According to court documents, Beckwood recruited people to submit fraudulent loan applications to the federal agency. Beckwood and his co-conspirator, Lakeith Faulkner, who worked for the Small Business Administration, helped submit over $11 million in loans, the news release said. In return, the borrowers paid Beckwood and Faulkner $2.3 million, federal prosecutors said.

Twenty-one borrowers have also been charged in connection with the scheme.

“Norman Beckwood and his cohorts stole millions of dollars from American taxpayers while taking advantage of programs designed to help keep businesses afloat during a national crisis,” U.S. Attorney Clay Joyner said. “Our office will continue to work with our law enforcement partners to bring those who committed pandemic benefit fraud to justice and will use all available tools to recover the stolen funds.”

More:Finance

Recommend

'September 5' depicts shocking day when terrorism arrived at the Olympics

On Sept. 5, 1972, Munich's Summer Olympics morphed in a gut-wrenching instant from the world's bigge

Anderson Cooper hit by debris during CNN's live Hurricane Milton coverage

Anderson Cooper is weathering through CNN's Hurricane Milton coverage.The "Anderson Cooper 360" anch

Watch dad break down when Airman daughter returns home for his birthday after 3 years

A dad broke down in tears when his Airman daughter showed up on his birthday after three years apart