Peter Peacock Blood Sentenced to Federal Prison for COVID-Relief Fr…

Peter Peacock Blood, 59, of Portland, Oregon, is trading his solar panels for prison bars after a federal judge slammed him with a 12-month sentence for a brazen COVID-19 relief scam. Blood wasn’t helping businesses weather the storm; he was lining his own pockets with funds meant to keep local economies afloat. The feds say Blood’s greed cost taxpayers over half a million dollars.

Blood ran two solar energy companies, Cycle Power Partners, LLC and Cycle Holdings, LLC. Like many small business owners, he applied for pandemic relief loans. But Blood didn’t just exaggerate – he fabricated. He claimed to have ten employees and a monthly payroll exceeding $116,000. The reality? His companies were operating with two or fewer workers. It was a calculated gamble that backfired spectacularly.

Federal prosecutors laid out the details in court: Blood raked in over $622,000 in fraudulent loans. Instead of using the money to cover legitimate business expenses, he indulged in personal upgrades. A significant chunk – over $14,000 – went towards home improvements. Even more shockingly, Blood dropped over half the loan amount on a custom-built truck. It’s a clear case of prioritizing personal comfort over the struggling businesses the aid was intended for.

The scheme unraveled thanks to a joint investigation by the Small Business Administration’s Office of Inspector General (OIG), the U.S. Treasury Inspector General for Tax Administration (TIGTA), and the FBI. These agencies meticulously traced the funds, uncovering the lavish spending and discrepancies in Blood’s applications. He eventually pleaded guilty to two counts of loan fraud, hoping for leniency, but the judge wasn’t buying it.

Beyond the year in prison, Blood will spend five years under supervised release. He’s also been ordered to forfeit over $600,000 and pay more than $590,000 in restitution to the SBA and Chase Bank. While restitution won’t fully compensate for the damage, it’s a start. This case serves as a harsh warning: exploiting a national crisis for personal gain will not be tolerated.

This isn’t an isolated incident. The feds are cracking down on COVID-19 relief fraud across the country. Just recently, a former Portland area non-profit director and a Gresham man also received prison sentences for similar schemes. Even an Oregon dentist was caught stealing millions in relief funds while simultaneously dealing controlled substances. The message is clear: federal prosecutors are aggressively pursuing those who profited from the pandemic’s misery.

Anyone with knowledge of COVID-19 relief fraud is urged to report it to the National Center for Disaster Fraud (NCDF) hotline or through their web complaint form. The NCDF is a crucial resource for identifying and prosecuting these crimes, ensuring that those responsible are held accountable. The District of Oregon’s main office can also be contacted for further information.

Blood’s case highlights the vulnerability of emergency relief programs to abuse. While these programs are vital for supporting communities during crises, they require robust oversight and diligent investigation to prevent exploitation. The feds are sending a message: stealing from relief efforts is a serious crime with serious consequences.