Marcus Eichelberger, a former church pastor in Jacksonville, Florida, was indicted on Apr. 15 on four counts of wire fraud related to Paycheck Protection Program loans from the Small Business Administration. If convicted, Eichelberger could face up to 20 years in federal prison for each count, according to U.S. Attorney Gregory W. Kehoe.
The case is significant as it involves alleged fraudulent use of federal relief funds meant to support businesses during the COVID-19 pandemic. Prosecutors say these actions undermine public trust and the integrity of taxpayer-funded programs designed to help those in need.
According to the indictment, between March 2021 and February 2022, Eichelberger directed another individual to submit fraudulent applications for PPP loans that they were not entitled to receive. The indictment alleges that both parties certified the proceeds would be used for payroll and business expenses but instead kept the money for personal use and later applied for forgiveness of both loans, causing about $50,000 in losses.
"The U.S. Attorney’s Office is committed to prosecuting those who use fraud and deception to exploit our nation’s federal benefits programs," said U.S. Attorney Gregory W. Kehoe. "We will continue working with our law enforcement partners to protect the integrity of these taxpayer-funded programs." Special Agent in Charge David Spilker with the VA Office of Inspector General’s Southeast Field Office said: "Through a proactive initiative with the SBA OIG, our investigation uncovered that a VA employee and the employee’s pastor fraudulently obtained federal relief funds intended for legitimate businesses in need... we work together to hold accountable anyone who exploits these critical programs."
Officials remind that an indictment is only a formal charge; all defendants are presumed innocent unless proven guilty.
The Department of Veterans Affairs Office of Inspector General investigated this case and Assistant United States Attorney Kelli Swaney will prosecute it.
In response to rising concerns over misuse of federal benefits during recent years, the Department of Justice established its National Fraud Enforcement Division focused on investigating and prosecuting such cases.
