Atlantic City Housing Chief Ripped Off COVID Relief Funds for $30K

A brazen scheme by a former Atlantic City Housing Authority Coordinator has
exposed the depths of corruption in New Jersey’s COVID-19 relief efforts.

Luquay Zahir, 49, of Atlantic City, was arrested yesterday on charges of making false
statements to influence the U.S. Small Business Administration and wire fraud.

According to the complaint filed in U.S. District Court in Camden, Zahir, then the
Coordinator for the Resident Opportunity and Self Sufficiency grant program for the
Atlantic City Housing Authority and Urban Redevelopment Agency, obtained more than
$30,000 through a Paycheck Protection Program loan and Economic Injury Disaster Loan
advance issued under the Coronavirus Aid, Relief, and Economic Security Act in 2020 and
2021.

The count of making false statements to influence the SBA carries a maximum potential
penalty of two years in prison and a maximum fine of $250,000. The count of wire fraud
carries a maximum potential penalty of 20 years in prison and a maximum fine of $250,000.

U.S. Attorney Philip R. Sellinger credited special agents of the FBI’s Newark Atlantic
City Resident Agency under the direction of Special Agent in Charge James E. Dennehy,
along with special agents of the SBA Office of Inspector General’s Eastern Region under
the direction of Special Agent in Charge Amaleka McCall-Braithwaite, with the investigation
leading to Zahir’s arrest.

Assistant U.S. Attorney Eric A. Boden, Attorney-in-Charge of the Trenton Branch Office,
will represent the government in the case.

The charge and allegations contained in the complaint are merely accusations, and
Zahir is presumed innocent unless and until proven guilty.

Zahir was released on $100,000 unsecured bond and is scheduled to make his initial
appearance before U.S. Magistrate Judge Elizabeth A. Pascal in Camden federal court
today.