Five Current or Former IRS Employees Charged with Defrauding Federal COVID-19 Relief Programs

Five Current or Former IRS Employees Charged with Defrauding Federal COVID-19 Relief Programs

The following press release was published by the U.S. Department of Justice, Office of the United States Attorneys on Oct. 4. It is reproduced in full below.

Memphis, TN - Five current or former IRS employees have been charged with schemes to defraud the

Paycheck Protection Program (PPP) and Economic Injury Disaster Loan (EIDL) Program, federal

stimulus programs authorized as part of the Coronavirus Aid, Relief, and Economic Security (CARES)

Act.

“The IRS employees charged in these cases allegedly abused the trust placed in them by the public,"

said Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal

Division. “The Criminal Division is committed to safeguarding that public trust and protecting

pandemic relief programs for the American people."

“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," said Director for

COVID-19 Fraud Enforcement Kevin Chambers. “The Justice Department will continue to work hard to

root out PPP and EIDL Program fraud, including that committed by government employees."

According to court documents, the defendants allegedly obtained funds under the PPP and EIDL

Program by submitting false and fraudulent loan applications that collectively sought over $1

million. They then used the loan funds for purposes not authorized by the PPP or EIDL Program, but

instead for cars, luxury goods, and personal travel, including trips to Las Vegas.

“These individuals - acting out of pure greed - abused their positions by taking government funds

meant for citizens and businesses who desperately needed it," said U.S. Attorney Kevin G. Ritz for

the Western District of Tennessee. “I thank our law enforcement partners for rooting out this

fraud. Our office will not hesitate to pursue and charge individuals who steal from our nation’s

taxpayers."

Administration’s (TIGTA) mission includes

investigating allegations of criminal violations committed by Internal Revenue Service

employees," said Treasury Inspector General for Tax Administration J. Russell George. “We will

continue to aggressively pursue IRS employees who breach the public trust, safeguarding the

integrity of the IRS."

“It is especially egregious when individuals that hold positions of public trust engage in criminal

activity," said Inspector General Hannibal “Mike" Ware of the Small Business Administration, Office

of Inspector General (SBA-OIG). “OIG is a ready partner in safeguarding the integrity of SBA’s

programs and in bringing wrongdoers to justice."

The five individuals charged are:

• Brian Saulsberry, 46, of Memphis, Tennessee, is charged with two counts of wire fraud and two

counts of money laundering. Saulsberry was employed by the IRS as a Program Evaluation and Risk

Analyst in the Human Capital Office. According to the indictment, Saulsberry submitted four

fraudulent EIDL Program applications, seeking at least

$501,400 in EIDL Program loans and obtaining $171,400 in loan funds. Saulsberry allegedly spent a

portion of the funds on a Mercedes-Benz and deposited additional funds into a personal investment

account.

• Courtney Quinshe Westmoreland, 38, of Cordova, Tennessee, is charged with three counts of wire

fraud. Westmoreland was employed by the IRS as a Contact Representative in the Wage and Investment

Service Centers Department. According to the indictment, Westmoreland submitted multiple fraudulent

PPP and EIDL Program applications on behalf of a purported apparel business, for which she sought

at least $32,500 in loans and obtained $11,500 in loan funds. Westmoreland allegedly used these

funds for personal services, including manicures and massages, and to purchase luxury clothing. In

addition, while employed full-time by the IRS, Westmoreland allegedly submitted fraudulent

applications for unemployment insurance benefits to the Tennessee Department of Labor, in which she

falsely claimed that she was not employed by the federal government. According to court

documents, Westmoreland fraudulently obtained $16,050 in unemployment insurance benefits.

• Fatina Hewitt, 35, of Olive Branch, Mississippi, is charged with one count of wire fraud. Hewitt

was employed by the IRS as a Management and Program Assistant in Information Technology. According

to the information, Hewitt submitted multiple fraudulent EIDL Program applications on behalf of a

purported fashion business, seeking $338,900 in EIDL Program loans and obtaining $28,900 in loan

funds. Court documents allege that Hewitt spent the loan funds on Gucci clothing and a trip to Las

Vegas. On October 4, 2022, Hewitt pleaded guilty to one count of wire fraud.

• Roderick DeMarco White II, 27, of Memphis, is charged with one count of wire fraud. White was

employed by the IRS as a Contact Representative in the Wage and Investment Service Centers

Department. According to the information, White submitted four fraudulent PPP and EIDL Program

applications on behalf of a purported apparel business, seeking $113,311 in PPP and EIDL Program

loans and obtaining $66,666 in loan funds. White allegedly spent the loan funds on personal items,

including a Gucci satchel. On Aug. 25, 2022, White pleaded guilty to one count of wire fraud.

• Tina Humes, 56, of Memphis, is charged with one count of wire fraud. Humes was employed by the

IRS as a Lead Management and Program Assistant in the Human Capital Office. According to the

information, Humes submitted four fraudulent PPP and EIDL Program applications, seeking $133,812 in

loans and obtaining $123,612 in loan funds. Humes allegedly spent the funds on jewelry and trips to

Las Vegas. On July 27, 2022, Humes pleaded guilty to one count of wire fraud.

Each count of wire fraud carries a maximum penalty of 20 years in prison, and each count of money

laundering carries a maximum penalty of 10 years in prison. A federal district court judge will

determine any sentence after considering the U.S. Sentencing Guidelines and other statutory

factors.

The TIGTA and SBA-OIG investigated the cases.

Assistant Chief Justin Woodard and Trial Attorneys Sara Porter, Kelly Z. Walters, and Thomas D.

Campbell of the Fraud Section’s Gulf Coast Strike Force and Assistant U.S. Attorney Carroll Andre

for the Western District of Tennessee are prosecuting the cases.

These cases were brought as part of an interagency effort to combat and prevent CARES Act fraud by

federal employees. The initiative is led by the U.S. Department of Justice’s Criminal Division,

Fraud Section, U.S. Attorneys’ Offices, and agents with TIGTA and SBA-OIG.

The Fraud Section leads the Criminal Division’s prosecution of fraud schemes that exploit the PPP.

Since the inception of the CARES Act, the Fraud Section has prosecuted over 150 defendants in more

than 95 criminal cases and has seized over $75 million in cash proceeds derived from fraudulently

obtained PPP funds, as well as numerous real estate properties and luxury items purchased with

such proceeds. More information can be found at

https://www.justice.gov/criminal-fraud/ppp-fraud.

On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to

marshal the resources of the Department of Justice in partnership with agencies across government

to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to

investigate and prosecute the most culpable domestic and international criminal actors and assists

agencies tasked with administering relief programs to prevent fraud by, augmenting and

incorporating existing coordination mechanisms, identifying resources and techniques to uncover

fraudulent actors and their schemes, and sharing and harnessing information and insights gained

from prior enforcement efforts. For more information on the Department’s response to the pandemic,

please visit https://www.justice.gov/coronavirus.

Anyone with information about allegations of attempted fraud involving COVID-19 can report it by

calling the Department of Justice’s National Center for Disaster Fraud (NCDF) hotline via the NCDF

Web Complaint Form at https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint- form.

An indictment or information is merely an allegation. All defendants are presumed innocent until

proven guilty beyond a reasonable doubt in a court of law.

Source: U.S. Department of Justice, Office of the United States Attorneys

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