Philly Man Stole Nearly $ 1 Million In P3 Loans: Federal Government
PHILADELPHIA – A Philadelphia man has been accused of stealing nearly $ 1 million from the federal paycheck protection program, federal officials say.
Acting United States lawyer Jennifer Arbittier Williams said Devron Brown, 50, formerly of Philadelphia, has been charged by the federal government with two counts of bank fraud and nine counts of money laundering in part of an alleged scheme to illegally obtain and divert loan proceeds offered through the federal government. Paycheque Protection Program (PPP).
According to the indictment, in June 2020, Brown fraudulently obtained approximately $ 937,500 in PPP loan proceeds, pursuant to a PPP loan application that contained false statements regarding his alleged construction company, Just Us Construction Inc.
The indictment alleges that Brown made several false characterizations about Just Us Construction, including the number of employees, the wages paid to them, the payroll taxes paid on those wages and the intended use of the proceeds from the PPP loan.
Brown is also said to have used the funds for personal and unauthorized purchases, including a new residential property in Florida, a motorcycle, an all-terrain vehicle, a luxury automobile and diamond jewelry.
Authorities said Brown also allegedly caused the submission of a second fraudulent PPP loan application for about the same amount in early 2021, but that request was denied.
âPaycheck Protection Program funds are intended to help small US businesses continue to pay their employees, even as revenues have fallen dramatically due to the pandemic,â Williams said. âThe thieves who try to take these funds take advantage of the misfortune of others – scam them while scamming all the taxpayers who fund the program. As it is claimed, Brown fraudulently secured nearly $ 1 million in funds that could have helped struggling businesses and individuals. “
If convicted of all charges, Brown faces a possible maximum sentence of 150 years in prison, three years of supervised release, a fine of $ 4,250,000, restitution and a special assessment of $ 1,100.