Decarla Conner and Three Others Hit with 13-Count Indictment for COVID-19 Loan Fraud

HOUSTON – The grimy details of a COVID-19 loan fraud scheme are now coming to light as Decarla Conner, 42, from Bastrop, Louisiana, and three others have been hit with a 13-count indictment. The accused, including Randy Delrosario, 55, of Katy; Darrell Foster, 58, from League City; and Enjoli Jeffrey, 44, of Pearland, are accused of conspiring to commit wire fraud.

The alleged scheme targeted the Small Business Administration (SBA) and Paycheck Protection Program (PPP)-affiliated lenders. According to the indictment, the group submitted fraudulent PPP and Economic Injury Disaster Loan Program applications, supported by false tax documents including fake business tax returns.

Delrosario, Conner, and Jeffrey also face money laundering charges. They are said to have misused loan proceeds for large cash withdrawals and personal expenses like house payments, mortgage payments, personal travel, vehicles, and jewelry. Kickbacks were also paid for submitting the fraudulent applications.

The investigation was a collaborative effort by the Federal Housing Finance Agency – Office of Inspector General, Treasury Inspector General for Tax Administration, Immigration and Customs Enforcement – Homeland Security Investigations, Small Business Administration – OIG, and Federal Deposit Insurance Corporation – OIG, with support from local law enforcement agencies. Assistant U.S. Attorneys Stephanie Bauman and Shirin Hakimzadeh are leading the prosecution.

Convictions for conspiracy and wire fraud carry up to 20 years in prison and a $250,000 fine. Delrosario faces additional money laundering charges with penalties of up to 10 and 20 years, while Conner and Jeffrey could face up to 10 years for their counts. The indicted are presumed innocent until proven guilty.