Five current and former IRS employees have been charged in a scheme to fraudulently collect COVID-19 aid including Paycheck Protection Program money and Economic Injury Disaster Loans. According to court documents, the defendants tried to obtain a total of $1 million in PPP and Injury Disaster Loans by submitting false applications.
“These individuals – acting out of pure greed – abused their positions by taking government funds meant for citizens and businesses who desperately needed it,” Kevin Ritz, U.S. attorney for the Western District of Tennessee, said in a statement.
According to the Department of Justice, the defendants used the money for cars, luxury goods and personal travel. Brian Saulsberry of Memphis obtained $171,400 and is accused of buying a Mercedes and cushioning a personal investment account. Tina Humes, also of Memphis, received $123,612 according to the DOJ, and is accused of using it to buy jewelry and go on a trip to Las Vegas.
At least one defendant lied on their application about being a federal government employee, three of them claimed to own a fashion or clothing company.
The five defendants are:
- Brian Saulsberry, 46, is charged with two counts of wire fraud and two counts of money laundering.
- Courtney Quinshe Westmoreland, 38, of Cordova, Tennessee, is charged with three counts of wire fraud.
- Fatina Hewitt, 35, of Olive Branch, Mississippi, pleaded guilty to one count of wire fraud.
- Roderick DeMarco White II, 27, of Memphis, pleaded guilty to one count of wire fraud.
- Tina Humes, 56, pleaded guilty to one count of wire fraud.
Each count of wire fraud could lead to a maximum 20 years in prison, money laundering carries up to a ten year penalty per count.
This is part of a larger effort to crack down on COVID-19 fraud schemes that has led to 150 prosecutions and the seizure of $75 million dollars.
“This matter demonstrates the brazenness with which bad actors have taken advantage of federal programs meant to help those who suffered most from the COVID-19 pandemic,” Kevin Chambers Director for COVID-19 Fraud Enforcement said in a statement. “The Justice Department will continue to work hard to root out PPP and EIDL Program fraud, including that committed by government employees.”
