What to know:
- A former pastor in Florida has been indicted for allegedly stealing about $50,000 in COVID-19 relief funds through fraudulent PPP loan applications.
- Authorities say the accused falsely claimed the funds were for business expenses but instead used the money for personal purposes and sought loan forgiveness.
A former church pastor in Florida has been charged with fraud linked to pandemic relief money.
The pastor, Marcus Eichelberger, a 46-year-old pastor based in Jacksonville, has been charged on four counts of wire fraud. The Prosecutors say he was involved misuse of funds from the Paycheck Protection Program (PPP), which was created to support struggling businesses during the pandemic.
According to the DOJ, the fraud operated between March 2021 and February 2022, and pastor Eichelberger worked with another individual to submit false loan applications for businesses that were not eligible.
Source: Justice.gov
According the authorities the applications included claims that the funds would be used for payroll and business expenses. Instead, the money, which was about $50,000 was kept for personal use after the loans were approved.
The Officials also said that the two individuals later applied to have the loans forgiven, even though the funds were not used as required. Loan forgiveness is a process meant to cancel repayment if the money is used properly under the program rules.
Crackdown on Pandemic Fraud
The Justice Department says it is increasing efforts to track down and prosecute fraud tied to COVID-19 relief programs. U.S. Attorney Gregory W. Kehoe said authorities remain focused on protecting taxpayer-funded programs from abuse.
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The case was investigated by the Department of Veterans Affairs Office of Inspector General, which works to detect fraud involving federal funds. Officials noted that the investigation uncovered cooperation between a VA employee and the pastor in the alleged scheme.
If convicted, Eichelberger could face up to 20 years in prison for each count of wire fraud. However, prosecutors emphasized that an indictment is only a formal accusation, and the defendant is presumed innocent unless proven guilty in court.
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