Luquay Zahir, 50, of Atlantic City, New Jersey, pleaded guilty to fraudulently obtaining over $30,000 in COVID-19 relief funds. Zahir, the former Ross Family Service Coordinator for the Atlantic City Housing Authority, falsely claimed ownership of a business with 10 employees to secure a Paycheck Protection Program (PPP) loan and an Economic Injury Disaster Loan (EIDL) advance.
Zahir submitted forged documents and falsely claimed substantial revenue to obtain the loans, which he then misused for personal expenses. The funds were not used for business-related costs as intended, leading to charges of wire fraud and making false statements to the U.S. Small Business Administration (SBA). The charges carry significant penalties, with Zahir facing up to 20 years in prison and fines.