MIAMI – In a stunning betrayal of the public trust, hip-hop artist and music producer Rodney McClain, aka “Money Rod,” a/k/a “$Rod,” 35, of Fulton County, Georgia, pleaded guilty to one count of wire fraud in connection with his brazen COVID-19 relief fraud scheme.
As part of his plea, McClain admitted to causing a Paycheck Protection Program (PPP) loan application to be submitted for his company, Dreams Come True Records, LLC, a music production company with its principal place of business in North Miami Beach, Florida. The application contained materially false information about the company’s number of employees and payroll expenses in 2019 and 2020, including two falsified IRS tax forms submitted with the application.
As a result of this egregious scheme, McClain received over $600,000 in PPP loan proceeds, which he then spent on personal and other impermissible expenses, exceeding $100,000. The sentencing hearing is scheduled for August 29 before U.S. District Judge Kathleen Williams in Miami, where McClain faces up to 20 years in prison for the wire fraud conviction.
U.S. Attorney Markenzy Lapointe for the Southern District of Florida and Special Agent in Charge Matthew D. Line of the IRS Criminal Investigation (IRS-CI), Miami Field Division announced the plea. IRS-CI, Miami Field Office investigated the case, while Assistant U.S. Attorney Emily R. Stone is prosecuting this case and handling asset forfeiture.
The plea comes as part of the Department of Justice’s ongoing efforts to combat and prevent pandemic-related fraud. In May 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud.
Additionally, on September 15, 2022, the Attorney General selected the Southern District of Florida’s U.S. Attorney’s Office to head one of three national COVID-19 Fraud Strike Force Teams. The Department of Justice established the Strike Force to enhance existing efforts to combat and prevent COVID-19 related financial fraud.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Related Federal Cases
- Cole & Simpson Indicted for Mail Fraud, Extortion, Money Laundering · Georgia
- Titusville Man Convicted in $9,874 Govt Money Theft · Georgia
- ‘White Boi’ Nabbed in $10M Treasury Check Scam · Mississippi
- Georgia Biz Owner Jailed for $1.5M Pain Cream Scam · Georgia
- Polanco, Lamar & Robinson: Drug Money Heist Lands Trio in Prison · Georgia
Key Facts
- State: Florida
- Agency: DOJ USAO
- Category: Fraud & Financial Crimes
- Source: Official Source ↗
🔒 Get the grimiest stories delivered weekly. Subscribe free →
Browse More
MORE FEDERAL CRIME NEWS
US NewsUS NewsUS NewsUS News