Benjamin Hayford, a 32-year-old project manager from Centerton, Arkansas, has been charged with COVID-19 relief fraud in Oklahoma, accused of seeking over $8 million in forgivable loans guaranteed by the Small Business Administration (SBA) under the Coronavirus Aid, Relief, and Economic Security (CARES) Act.
According to the charges, Hayford allegedly filed fraudulent bank loan applications with multiple lenders, claiming fictitious payroll expenses and providing false documentation to support his applications. The investigation revealed that Hayford did not create the Limited Liability Partnership for which he applied for relief until April 2020, several days before he began applying for Paycheck Protection Program (PPP) loans.
The CARES Act was enacted in March 2020 to provide emergency financial assistance to Americans suffering the economic effects of the COVID-19 pandemic. The act authorized up to $349 billion in forgivable loans to small businesses for job retention and certain other expenses through the PPP.
A federal criminal complaint is merely an accusation, and Hayford is presumed innocent until proven guilty beyond a reasonable doubt in a court of law. The case is being prosecuted by Deputy Chief Brian R. Young of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Victor A.S. Régal for the Northern District of Oklahoma.
The Justice Department acknowledges and thanks the Federal Housing Finance Agency Office of Inspector General (FHFA OIG), the Small Business Administration Office of Inspector General (SBA OIG), and the Federal Deposit Insurance Corporation Office of Inspector General (FDIC OIG) for their efforts investigating this matter.
Hayford is charged with wire fraud, bank fraud, making false statements to a financial institution, and making false statements to the SBA. If convicted, he faces up to 30 years in prison and a fine of up to $1 million.
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Key Facts
- State: Oklahoma
- Category: Fraud & Financial Crimes
- Source: DOJ Press Release â†â€â€
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