A federal grand jury has indicted three men from the Metro East area for participating in a fraudulent scheme involving Paycheck Protection Program (PPP) loans. Dana C. Howard, 52, of O’Fallon, Richard Scott Myers, 63, of Edwardsville, and Glenn Sunnquist, 53, of Swansea, are facing multiple charges, including conspiracy to commit wire fraud and wire fraud, as well as additional charges of bankruptcy fraud, false statements, and willful failure to pay taxes.
The indictment stems from actions taken by Howard and Myers, co-owners of construction company Zoie, LLC, and freight business Zade Trucking, both based in East St. Louis. Sunnquist, a bookkeeper for both businesses, is also implicated in the fraud scheme.
In April 2020, Howard and Myers applied for and received a $1,426,500 PPP loan, claiming that over $1.3 million would be used to support Zoie and keep employees paid during the pandemic. However, court documents indicate that the funds were instead diverted for personal use and to benefit another business they owned, rather than fulfilling the intended purpose of aiding business operations.
The indictment further alleges that both Howard and Myers filed for bankruptcy in 2020, falsely declaring that they had little to no PPP loan funds remaining. In reality, they still had $450,000 available through cashier’s checks. Additionally, Howard and Myers applied for a second PPP loan in January 2021, requesting more than $1.4 million and falsely claiming they had not filed for bankruptcy.
Sunnquist is accused of falsifying the financial records for Zoie, LLC, to help secure loan forgiveness. Despite their efforts, the Small Business Administration (SBA) denied the loan forgiveness request in September 2022.
FBI Springfield Special Agent in Charge Christopher Johnson described the widespread nature of COVID-related fraud, stating, “COVID fraud was massive in scale, and ultimately the cost will be paid by American taxpayers for generations to come.”
St. Louis Field Office Special Agent in Charge Bill Steenson emphasized that IRS Criminal Investigation is continuing to track down fraudsters, ensuring they are held accountable for their actions. The case is being prosecuted by Assistant U.S. Attorney Kevin Burke, with contributions from the FBI Springfield Field Office and IRS Criminal Investigation.
An indictment is a formal charge but does not imply guilt, as the defendants are presumed innocent until proven guilty in court.