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Denish Sahadevan, a/k/a ‘Danny Devan,’ Pleads Guilty to COVID-19 CARES Act Loan Scam
Greenbelt, Maryland – Denish Sahadevan, a 31-year-old former social media influencer from Potomac, Maryland, pleaded guilty to wire fraud, aggravated identity theft, and money laundering in a COVID-19 CARES Act loan scam that defrauded lenders and the Small Business Administration (SBA) of over $1.2 million in Paycheck Protection Program (PPP) loans and Economic Injury Disaster Loans (EIDL).
The scam involved Sahadevan submitting false and fabricated documents, including tax forms and bank statements, to obtain the loans. He also used the identifying information of a tax preparer without their knowledge or consent to legitimize the fabricated documents.
According to the plea agreement, Sahadevan applied for approximately 71 PPP loans totaling approximately $941,794.75 and successfully obtained approximately $146,000 in PPP benefits. He also applied for and received eight EIDLs totaling $283,900.
In addition, Sahadevan caused the fraud proceeds to be deposited into bank accounts he opened specifically for that purpose, then laundered the funds by engaging in several monetary transactions, including purchasing and trading securities and cryptocurrency, settling personal debts, and making payments to his girlfriend.
As part of his plea agreement, Sahadevan will forfeit the cash and Bitcoin seized during the search on February 24, 2023, and will be required to pay restitution and a forfeiture money judgment of at least $429,906.
Detective work led to the recovery of multiple electronic devices, a can containing approximately 18 driver’s licenses belonging to other individuals, what appeared to be a gold physical Bitcoin in a black case, and approximately $17,043 in cash from the search of Sahadevan’s Potomac residence on February 24, 2023.
Detailed in the plea agreement, Sahadevan caused the fraud proceeds to be laundered by engaging in several monetary transactions, including purchasing and trading securities and cryptocurrency, settling personal debts, and making payments to his girlfriend.
Detailed in the plea agreement, Sahadevan caused the fraud proceeds to be laundered by engaging in several monetary transactions, including purchasing and trading securities and cryptocurrency, settling personal debts, and making payments to his girlfriend.
Key Facts
- State: Maryland
- Category: Fraud & Financial Crimes
- Source: DOJ Press Release â†â€â€
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