cleveland – Demetrius Moore, 42, of Cleveland, Ohio, was sentenced Friday, October 28, 2022, to three and a half years in prison by U.S. District Judge Pamela A. Barker and awarded $183,215.47 to small businesses. ordered to pay. Management (SBA). Judge Barker ruled after pleading Moore guilty to involvement in a scheme to defraud (SBA) by illegally obtaining loan funds for his Paycheck Protection Program (PPP) and Economic Injury Disaster Loan (EIDL). did.
Moore has previously pleaded guilty to one count of theft of government funds, two counts of wire fraud and one count of felony possession of a firearm.
According to court documents, between July 2020 and March 2021, Moore devised and participated in a scheme to defraud SBA to obtain PPP and EIDL loans under false and fraudulent pretenses. , Rolex watches, Volvo and other personal expenses. Best Buy and Louis Vuitton sleeper truck tractors and retail purchases.
As part of the scheme, in July 2020, Moore opened a business bank account in the name of an investment firm that allegedly had no legitimate business operations or employees. Moore and his unnamed co-conspirators then used that bank account to apply for and receive loans for PPP and his EIDL.
According to court documents, Moore provided false and fictitious information regarding his PPP and EIDL loan applications, and that his company had 10 employees, even though he had neither. It was declaring that it had a sizeable annual return. As a result of these fraudulent loan applications, Moore received $183,215.47 in funding from both his PPP and his EIDL. After the funds were deposited into his bank account, Moore used the funds to make personal purchases.
On November 19, 2020, during the execution of a search warrant, authorities discovered Moore in possession of a firearm. Moore is barred from possessing a firearm due to previous drug trafficking and firearm offense convictions in the United States District Court and Cuyahoga County Court.
At the time of his criminal activity, Moore had been released under federal supervision for several of these offenses.
The case was investigated by the IRS Criminal Investigations (CI) and the Drug Enforcement Administration (DEA). The case was indicted by U.S. Assistant Attorneys Margaret A. Sweeney, Elliot D. Morrison, and Alejandro A. Abreu.
The Coronavirus Aid, Relief, and Economic Security (“CARES”) Act is a federal law enacted around March 2020 that provides relief to Americans suffering the economic impact caused by the COVID-19 pandemic. It is intended to provide emergency financial assistance. Under the CARES Act, SBA has provided some financial assistance through its EIDL and PPP programs to businesses adversely affected by the COVID-19 pandemic.