Three Department of Veterans Affairs (VA) employees in Illinois have been indicted by a federal grand jury for allegedly defrauding the Paycheck Protection Program (PPP) during the COVID-19 pandemic. The program, created by the U.S. Small Business Administration, was designed to provide financial relief to struggling small businesses. Instead, these employees are accused of using the program to enrich themselves through fraudulent means.
Katherine Liggins and Eric Scott are facing charges of wire fraud and making material false statements in order to secure $20,000 each in PPP loans. The third employee, Tamika Wilson, faces more severe allegations. Prosecutors claim Wilson fraudulently obtained $40,000 in PPP loans and is facing multiple charges, including wire fraud, false statements, and submitting false documents.
“Countless small business owners and employees fell on hard economic times during the COVID-19 pandemic, and PPP loans allowed many to keep their families fed and lights on,” said U.S. Attorney Rachelle Aud Crowe. “Greedy individuals who sought to steal from the federal government under false pretenses and enrich themselves with PPP funds will be held accountable under the law.”
The accused VA employees are also charged with attempting to secure loan forgiveness through false information. Special Agent in Charge Gregory Billingsley emphasized that the indictments send a strong message that fraudulent activities within the VA will not be tolerated.
If convicted, the employees could face significant penalties, including up to 20 years in prison for wire fraud and up to five years for making false statements. While the indictments are formal charges, the employees remain presumed innocent until proven guilty in court.
