37°
It is alleged that in June 2020, Devron Brown, 50, received $937,500 in PPP loan proceeds, from a PPP loan application that contained false about his alleged construction business, Just Us Construction Inc., according to Acting United States Attorney Jennifer Arbittier Williams.
Brown allegedly falsified the number of employees, the wages paid to them, the payroll taxes paid on those wages, and the intended use of the PPP loan proceeds, Williams said.
It is also alleged that Brown used those PPP loan proceeds for personal and unauthorized purchases, including a new home in Florida, a motorcycle, an all-terrain vehicle, a luxury car, and diamond jewelry, Williams said.
Brown also allegedly caused submitted a second fraudulent PPP loan application for approximately the same amount in early 2021, but that application was denied, Williams said.
“Paycheck Protection Program funds are intended to help American small-businesses continue paying their employees, even if revenues have dropped dramatically due to the pandemic,” Williams said.
“Thieves who attempt to take these funds are taking advantage of others’ misfortune – ripping them off while also ripping off all taxpayers who fund the program. As alleged, Brown fraudulently obtained nearly $1 million in funds that could have helped struggling businesses and individuals.”
“The Paycheck Protection Program was created to provide emergency financial assistance to businesses and employees battered by the pandemic,” said Michael J. Driscoll, Special Agent in Charge of the FBI’s Philadelphia Division.
“Unfortunately, criminal opportunists with dollar signs in their eyes promptly got to work trying to defraud the federal government by seeking a cut of the funds. The FBI will continue to aggressively pursue those using the money from the PPP to bankroll their own lavish lifestyles at taxpayers’ expense.”
If convicted of all charges, Brown faces a maximum possible sentence of 150 years of imprisonment, three years of supervised release, a $4,250,000 fine, restitution, and an $1100 special assessment.
The case was investigated by the Federal Bureau of Investigation and the Federal Housing Finance Agency, Office of Inspector General, and is being prosecuted by Assistant United States Attorney Kathryn Deal.
Click here to follow Daily Voice Lower Merion-Narberth and receive free news updates.
