12 indicted in $14M COVID loan fraud scheme, federal prosecutors say

Twelve individuals have been indicted in a $14 million COVID‑19 relief loan fraud scheme, federal prosecutors announced on Tuesday. According to the Department of Justice, Las Vegas‑based tax preparer Charles Omonzokpia Usigbe and 11 associates submitted more than 100 falsified Paycheck Protection Program applications and more than 25 falsified Economic Injury Disaster Loan applications between April 2020 and May 2021. The suspects face a 90‑count indictment that includes charges of conspiracy to commit bank fraud and wire fraud, bank fraud, wire fraud, conspiracy to launder money, promotion money laundering and concealment money laundering. The other defendants named in the indictment are Christopher Omobhio Usigbe, Nancy Usigbe Smith, Favor Chikelu, Francisca Iyere, Egberanmwen Vivian Osayanren Onaiwu, Matthew Obobhen Usigbe, Ayele Amavigan, Solomon Ugbodu, Ibironke Mercy Alaga, Ifekam Joycelynn Osuya and Varney Allen Fofana. Prosecutors quoted Christopher S. Delzotto, Special Agent in Charge for the FBI Las Vegas Field Office, as saying: “The defendants deliberately engaged successful fraudulent activity, diverting funds intended for individuals and tiny businesses impacted by the nationalist emergency,” Christopher S. Delzotto, Special Agent successful Charge for the FBI Las Vegas Field Office, said successful the release. “The FBI, successful collaboration with our instrumentality enforcement partners, remains steadfast successful the pursuit and prosecution of individuals who misuse national alleviation programs.” The defendants made their initial court appearances on Tuesday. A trial has been scheduled for Aug. 31.