This…is American EIDL Fraud!

Oh My Fraud

In previous episodes Caleb and Greg have discussed the rampant fraud in the Paycheck Protection Program (PPP). But in this episode, the guys discuss a much less talked about program that was also subject to a lot of pandemic relief fraud: Economic Injury Disaster Loans (EIDL).

Sponsors
South Carolina Association of CPAs (SCACPA) - https://ohmyfraud.promo/scacpa

HOW TO EARN FREE CPE

In less than 10 minutes, you can earn 1 hour of NASBA-approved accounting CPE after listening to this episode. Download our mobile app, sign up, and look for the Oh My Fraud channel. Register for the course, complete a short quiz, and get your CPE certificate.

Download the app:

Apple: https://apps.apple.com/us/app/earmark-cpe/id1562599728
Android: https://play.google.com/store/apps/details?id=com.earmarkcpe.app

Questions? Need help? Email [e-mail].

CONNECT WITH THE HOSTS

Greg Kyte, CPA
Twitter: https://twitter.com/gregkyte
LinkedIn: https://www.linkedin.com/in/gregkyte/

Caleb Newquist
Twitter: https://twitter.com/cnewquist
LinkedIn: https://www.linkedin.com/in/calebnewquist/

Email us at [e-mail]

Sources:

• 1980 Grand Island tornado outbreak [Wikipedia]
• Economic Injury Disaster Loans [SBA]
• Business Physical Disaster Loans [SBA]
• Current Declared Disasters [SBA]
• Coronavirus Aid, Relief, and Economic Security Act
• Paycheck Protection Program and Health Care Enhancement Act
• ​​Disaster Assistance Upate Nationwide COVID EIDL, Targeted EIDL Advances, Supplemental Targeted Advances April 28, 2022 [SBA]
• Inspection of Small Business Administration’s Initial Disaster Assistance Response to the Coronavirus Pandemic
• COVID-19 EIDL Program Recipients on the Department of Treasury’s Do Not Pay List
• Georgia man admits submitting false information to obtain COVID-19 disaster relief funding [DOJ]
• Georgia man who used COVID relief funds to buy Pokemon card sentenced to prison [DOJ]
• He Spent $57,000 in Covid Relief on a Pokémon Card. Now the U.S. Owns It. [NYT]
• Florida Man [Wikipedia]
• Florida Man Beats Out Heart Disease As Nation's No. 1 Killer [The Onion]
• Florida ‘Don’t Say Gay’ forced disclosure amendment withdrawn [WFLA]
• Florida State Representative Indicted For Wire Fraud, Money Laundering, And Making False Statements [DOJ]
• Florida Lawmaker Charged With Pandemic Aid Fraud [NYT]
• State Rep. Joe Harding resigns after federal indictment for wire fraud [TBT]
• Former Florida State Representative Pleads Guilty To Wire Fraud, Money Laundering, And Making False Statements In Connection With Covid-19 Relief Fraud [DOJ]
• North-Central Florida Blimp Company Executive Sentenced To Over Five Years In Federal Prison For COVID-19 Relief Fraud [DOJ]
• Florida blimp executive, relative of former state lawmaker, sentenced to federal prison in pandemic fraud [SFSS]

Postscript
Since we recorded this episode, there have been a couple developments:

1. The Small Business Administration released a new report entitled "COVID-19 Pandemic EIDL and PPP Loan Fraud Landscape" on June 27, 2023. It estimates that the total amount of fraud between EIDL and PPP is ~$200 billion.

2. Former Florida Representative Joe Harding requested that his sentencing be pushed back a couple months. He still faces a maximum sentence of 35 years after pleading guilty to wire fraud, money laundering and making false statements about COVID-19 relief aid he received.