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Phillip Collins, a 47-year-old man from Robeson County, North Carolina, pleaded guilty to stealing over $170,000 in fraudulent Covid loans. Collins submitted false loan applications to the Small Business Administration’s Economic Injury Disaster Loan and Paycheck Protection Program, resulting in the disbursement of $170,833 in loan proceeds. The crime occurred in Robeson County, where Collins’ business was located, and the investigation was led by the FBI and IRS-CI.
According to court documents, Collins made false representations of the number of employees and gross revenues, and submitted false and fraudulent tax forms and bank statements. Following approval of each of the loan applications, funds were disbursed into a personal account controlled by Collins. The guilty plea was accepted by U.S. Magistrate Judge Robert Jones, and Collins now faces a maximum term of 30 years in prison and a $1 million fine.
U.S. Attorney Ellis Boyle stated that the government will continue to hold accountable anyone who defrauds taxpayer-funded programs. The case is a reminder that crime doesn’t pay, and cheaters will be brought to justice. The investigation and prosecution of Collins’ case demonstrate the commitment of law enforcement agencies to protecting public funds and preventing fraud.
The case against Collins is just one example of the many Covid loan fraud cases being investigated and prosecuted across the country. As the government continues to provide loans and subsidies to businesses and individuals, the risk of fraud and abuse remains high. The public can report suspected Covid loan fraud to the FBI or IRS-CI, and can stay informed about ongoing investigations and prosecutions through the U.S. Department of Justice website.
📋 Key Facts
- Crime: Fraud & Financial Crimes
- Defendant: North Carolina
- Location: NC
- Source: DOJ Press Release
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