Stoughton Man Pleads Guilty in COVID-19 Loan Fraud Scheme

BOSTON – A Stoughton man, Yves Montima, 53, has pleaded guilty to one count of conspiracy to commit bank fraud for his role in a fraudulent scheme that targeted COVID-19-related small business loans. The scheme, which defrauded over $220,000 from financial institutions, is part of the broader Paycheck Protection Program (PPP) established under the CARES Act.

Montima and an accomplice submitted 12 fraudulent PPP loan applications between April 2020 and April 2021, using both their own names and those of others. They are also accused of receiving kickback payments for these fraudulent applications. Sentencing is scheduled for March 9, 2022, and Montima faces up to 30 years in prison if convicted.

The PPP was designed to provide financial relief to small businesses during the pandemic, with loans guaranteed by the U.S. Small Business Administration. Montima’s conviction underscores the Department of Justice’s commitment to combating fraud related to government aid programs.

Acting United States Attorney Nathaniel R. Mendell and Frederick J. Regan, Special Agent in Charge of the U.S. Secret Service, Boston Field Office, announced the charges against Montima. The investigation was assisted by the U.S. Postal Service, Massachusetts State Police, and the Boston Police Department.

The COVID-19 Fraud Enforcement Task Force, established by the Attorney General on May 17, 2021, is dedicated to enhancing efforts to combat pandemic-related fraud. For those with information about similar schemes, the National Center for Disaster Fraud Hotline at 866-720-5721 or the NCDF Web Complaint Form are available for reporting.

The charges against Montima are allegations and he is presumed innocent until proven guilty in a court of law.

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