IRS employees charged in COVID-19 aid fraud scheme

Oct 05, 2022

Ray Bogan Political Correspondent

By Ray Bogan (Political Correspondent), Brent Jabbour (Producer), Brian Spencer (Editor)

Five current and former IRS employees have been charged in a scheme to fraudulently collect COVID-19 aid including Paycheck Protection Program money and Economic Injury Disaster Loans. According to court documents, the defendants tried to obtain a total of $1 million in PPP and Injury Disaster Loans by submitting false applications.

“These individuals – acting out of pure greed – abused their positions by taking government funds meant for citizens and businesses who desperately needed it,” Kevin Ritz, U.S. attorney for the Western District of Tennessee, said in a statement.

According to the Department of Justice, the defendants used the money for cars, luxury goods and personal travel. Brian Saulsberry of Memphis obtained $171,400 and is accused of buying a Mercedes and cushioning a personal investment account. Tina Humes, also of Memphis, received $123,612 according to the DOJ, and is accused of using it to buy jewelry and go on a trip to Las Vegas.

At least one defendant lied on their application about being a federal government employee, three of them claimed to own a fashion or clothing company.

The five defendants are:

Brian Saulsberry, 46, is charged with two counts of wire fraud and two counts of money laundering.
Courtney Quinshe Westmoreland, 38, of Cordova, Tennessee, is charged with three counts of wire fraud.
Fatina Hewitt, 35, of Olive Branch, Mississippi, pleaded guilty to one count of wire fraud.
Roderick DeMarco White II, 27, of Memphis, pleaded guilty to one count of wire fraud.
Tina Humes, 56, pleaded guilty to one count of wire fraud.

Each count of wire fraud could lead to a maximum 20 years in prison, money laundering carries up to a ten year penalty per count.

This is part of a larger effort to crack down on COVID-19 fraud schemes that has led to 150 prosecutions and the seizure of $75 million dollars.

“This matter demonstrates the brazenness with which bad actors have taken advantage of federal programs meant to help those who suffered most from the COVID-19 pandemic,” Kevin Chambers Director for COVID-19 Fraud Enforcement said in a statement. “The Justice Department will continue to work hard to root out PPP and EIDL Program fraud, including that committed by government employees.”

Tags: COVID-19, IRS

Five current and former IRS employees have been charged in a scheme to fraudulently collect Coronavirus aid including Paycheck Protection Program money and Economic Injury Disaster Loans. Even though they didn’t qualify.

According to court documents, the defendants tried to obtain a total of $1 million dollars in PPP and Injury Disaster Loans by submitting false applications. They used the money for cars like a Mercedees, luxury goods, and personal travel that included a trip to Las Vegas.

At least one defendant lied on their application about being a federal government employee, three of them claimed to own a fashion or clothing company.

U.S. attorney Kevin Ritz said in a statement quote: “These individuals – acting out of pure greed – abused their positions by taking government funds meant for citizens and businesses who desperately needed it.”

All five defendants are facing at least one count of wire fraud. Three plead guilty which could lead to a maximum 20 years in prison. One defendant is also facing two counts of money laundering, which carries up to a ten year prison penalty per charge.

This is part of a larger effort to crack down on covid fraud schemes, and it’s led to 150 prosecutions and the seizure of $75 million dollars. Straight from DC, I’m Ray Bogan.