Leah B. Foley United States Attorney for the District of Massachusetts | Department of Justice
A Peabody resident has been charged with theft of government money after allegedly securing more than $100,000 in coronavirus relief funds through fraudulent means.
Jonathan Carpenter, 41, was indicted on one count of theft of government money. He was arrested and later released under certain conditions following an initial appearance in federal court in Boston.
According to court documents, Carpenter is accused of defrauding the United States Small Business Administration (SBA) in 2020 by applying for and receiving an Economic Injury Disaster Loan (EIDL). The EIDL program was established under the Coronavirus Aid, Relief, and Economic Security (CARES) Act to help small businesses facing financial challenges due to the COVID-19 pandemic.
Authorities allege that Carpenter fraudulently obtained $125,000 in EIDL funds for Homeland Electric, a business that had reportedly not existed for about five years at the time he applied. It is further alleged that he misrepresented details about Homeland Electric’s founding date, revenue, and number of employees. Prosecutors also say Carpenter failed to disclose his criminal record on the application.
If convicted, Carpenter faces up to 10 years in prison, three years of supervised release, and a fine of up to $250,000. Sentencing will be determined by a federal district court judge according to federal guidelines.
United States Attorney Leah B. Foley and Ted E. Docks, Special Agent in Charge of the Federal Bureau of Investigation’s Boston Division announced the charges. The Peabody Police Department assisted with the investigation. Assistant U.S. Attorney Timothy E. Moran from the Securities, Financial & Cyber Fraud Unit is prosecuting the case.
“The details contained in the charging document are allegations. The defendant is presumed to be innocent unless and until proven guilty beyond a reasonable doubt in the court of law.”
