Lisa Evans, 42, from Olive Branch, Mississippi, pleaded guilty on February 21 to conspiracy to commit wire fraud, admitting to her role in a scheme that defrauded the Paycheck Protection Program (PPP) of more than $5 million, according to the U.S. Attorney’s Office for the Western District of Tennessee.
Court documents reveal that Evans submitted fraudulent PPP loan applications for multiple individuals who were ineligible for the funds. The applications included false information such as fabricated federal tax documents. After receiving the loan funds, the applicants paid Evans kickbacks ranging from 20% to 30%.
The fraudulent activities resulted in a loss of $5,126,258 to the PPP, a critical federal initiative created to assist small businesses during the COVID-19 pandemic.
Reagan Fondren, Acting U.S. Attorney for the Western District of Tennessee, condemned the scheme, stating, “Individuals cheating the Paycheck Protection Program stole money from U.S. taxpayers who desperately needed these loans to keep their small businesses afloat and pay their employees during the COVID-19 pandemic.”
Evans will be sentenced on May 22 and faces a maximum sentence of 20 years in federal prison.
