Kipterrez James, a 44-year-old resident of Cincinnati, has been sentenced to 13 months in prison for committing COVID-19 pandemic relief fraud. The sentencing took place in the U.S. District Court.
In 2021, James applied for a Paycheck Protection Program (PPP) loan under false pretenses. He claimed to operate a taxi/rideshare business named "Kip James." However, court documents revealed that at the time of his application, he was residing in a halfway house in Cincinnati after serving a 92-month federal sentence for illegal firearm possession as a convicted felon.
James used the address of the halfway house on his PPP loan application and falsely reported that his business earned approximately $99,000 in gross income in 2019. In reality, he was still incarcerated during that period. To support his fraudulent claim, he submitted a forged bank statement.
Upon receiving nearly $21,000 from the loan program, James spent the funds on personal expenses including dining at restaurants, shopping for clothing and shoes, purchasing liquor, and taking a trip to Las Vegas.
As part of his sentencing terms, James is required to repay $20,725 in restitution. He had pleaded guilty to making false statements to the federal government in September 2024.
The announcement of this sentence was made by Kenneth L. Parker, United States Attorney for the Southern District of Ohio, alongside Angie M. Salazar from Homeland Security Investigations (HSI) Detroit. The case is being prosecuted by Special Assistant United States Attorney Timothy Landry.
