AUSTIN, Texas
Tiffany Fullerton, a 47-year-old Georgetown woman, has been found guilty of one count of conspiracy to commit bank fraud and one count of conspiracy to commit money laundering in a $2.4 million Paycheck Protection Program (PPP) scam.
According to court documents and evidence presented at trial, Fullerton, along with her husband Michael Fullerton and two other co-conspirators, David Scott Starkes and Joseph Robles, used dormant and expired business names to submit five fraudulent PPP loan applications for a total exceeding $3 million.
Four of those applications were funded, allowing the defendants to receive approximately $2.4 million in PPP funds. The funds were used in an attempt to start a business in Oklahoma consisting of a marijuana grow and dispensary, a bar and grill, and an auto/boat repair shop.
Additionally, the funds were used to purchase a motor home, luxury watches, a boat, and other personal expenditures. The three other defendants in the case have all pleaded guilty and await their sentencing hearings.
U.S. Attorney Jaime Esparza for the Western District of Texas made the announcement, stating that the case is a reminder of the consequences of committing fraud.
The IRS Criminal Investigation and the Treasury Inspector General for Tax Administration investigated the case, with Assistant U.S. Attorneys Keith Henneke and G. Karthik Srinivasan prosecuting the case.
Fullerton’s sentencing hearing is set for a later date, and she faces up to 30 years in prison for the conspiracy to commit bank fraud charge and up to 20 years for the conspiracy to commit money laundering charge.
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Key Facts
- State: Texas
- Agency: DOJ USAO
- Category: Fraud & Financial Crimes|White Collar Crime|Organized Crime
- Source: Official Source ↗
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