MASON CITY, Iowa — Yovany Ciero, a 48-year-old Cuban immigrant and former army sergeant, has been convicted in federal court for his leading role in a multi-million-dollar COVID-19 loan fraud scheme.
A jury in Sioux City found Ciero guilty on May 8 after a four-day trial. The charges include three counts of wire fraud, 23 counts of money laundering, one count of conspiracy to commit money laundering, and one count of engaging in a monetary transaction involving criminally derived property.
According to evidence presented in court, Ciero was one of six key coordinators—or “aggregators”—in a scam that targeted the Paycheck Protection Program (PPP). Beginning in July 2020, Ciero helped over 100 Cuban immigrants apply for fraudulent PPP loans by falsely claiming they were self-employed and had earned around $100,000 in 2019. In reality, most of the individuals were working in meatpacking plants or other local jobs.
Ciero collected personal data, submitted false applications, and received commissions from each fraudulent loan. Authorities say the total scheme exceeded $4 million in fraudulent claims, with $2.4 million in actual losses to the U.S. government. Ciero used some of the ill-gotten funds to purchase a semi-trailer truck.
He is awaiting sentencing by Judge Leonard T. Strand and faces a maximum of life in prison, over $10 million in fines, and three years of supervised release.
The investigation was conducted by multiple federal agencies, including the SBA-OIG, FDIC-OIG, FBI, HSI, and the Storm Lake Police Department. The case is being prosecuted by Assistant U.S. Attorneys Timothy L. Vavricek and Daniel A. Chatham.
