U.S. Attorney Darcie N. McElwee | U.S. Department of Justice
A man from Plymouth, New Hampshire, Tyree Jones, has admitted to conspiring to commit wire fraud in connection with fraudulent loan applications during the COVID-19 pandemic. In U.S. District Court in Portland, Maine, Jones pleaded guilty to exploiting the pandemic by submitting false applications for Paycheck Protection Program (PPP) and Economic Injury Disaster Loan (EIDL) funds.
Court records reveal that between 2020 and 2021, Jones filed three fraudulent applications on his behalf, securing $51,666 by claiming ownership of non-existent businesses in agriculture and trucking. Additionally, he assisted others in obtaining PPP and EIDL funds in return for "kickbacks." At least 12 other people were involved through falsified IRS and bank documents submitted by Jones and his co-conspirators.
Jones could face up to 20 years in prison with a maximum fine of $250,000. His sentencing will be determined by a federal district judge after considering the U.S. Sentencing Guidelines.
The investigation was conducted by IRS Criminal Investigation.
The CARES Act was enacted on March 29, 2020, providing emergency financial assistance during the pandemic. It included EIDL funding for affected business owners via the Small Business Administration (SBA). These loans aimed to cover fixed debts and other essential expenses disrupted by COVID-19.
The PPP offered forgivable loans for job retention and specific expenses related to the pandemic's impact on small businesses. Administered by the SBA through third-party lenders, these loans were fully guaranteed by the SBA.
