Boulder Con Man Gets 30 Months for COVID Loan Scam

Boulder, CO – Russell Bryant Lester, 41, is headed to federal prison for 30 months after admitting to a brazen scheme to rip off COVID-19 relief funds. Lester wasn’t a struggling business owner; he was a hustler who saw a crisis as an opportunity, and the feds finally caught up with him. He’ll also be on the hook for $584,851.75 in restitution – if he ever has anything *to* give back.

The FBI and the Small Business Administration (SBA) untangled Lester’s web of lies, revealing he’d filed bogus applications for Paycheck Protection Program (PPP) and Economic Injury Disaster Loans (EIDL). Between March and August 2020, Lester raked in $217,400 in EIDLs, a $16,000 EIDL grant, and $317,975 in PPP loans – all based on fabricated claims. He even tried for *another* $297,200 PPP loan, but that one thankfully didn’t go through.

But Lester didn’t stop at just fleecing the SBA. He also lied to the Colorado Department of Labor and Employment to collect unemployment benefits. He claimed he was jobless since January 2020, pocketing $17,578 while likely enjoying the money stolen from legitimate businesses and unemployed citizens. The CARES Act was meant to be a lifeline, not a buffet for grifters like Lester.

Federal prosecutors – Craig Fansler, Sarah Weiss, and Rebecca Weber – secured a guilty plea from Lester on one count of wire fraud in November 2020. Wire fraud isn’t some technicality; it’s using electronic communication to commit a deliberate act of deception for financial gain. In Lester’s case, that meant submitting those fraudulent loan applications and siphoning off funds that should have gone to struggling Coloradans.

This isn’t just about the money, though. It’s about the principle. While businesses were legitimately fighting to stay afloat, Lester was lining his pockets. The feds are sending a message: exploiting a national crisis for personal enrichment won’t be tolerated. The 30-month sentence, coupled with the hefty restitution order, is a start, but it barely scratches the surface of the damage he caused.

Lester will also face three years of supervised release after he gets out of prison. Don’t expect a quick return to normalcy. This conviction will follow him. The Grimy Times will continue to track pandemic-related fraud and expose those who prey on desperation. If you suspect fraud, report it to the SBA’s Office of Inspector General or the FBI – don’t let these criminals get away with it.