Melissa T. Stevenson, Bank Fraud, Missouri 2022

A St. Louis County woman has been sentenced for her role in a PPP loan scam, netting her over a quarter million dollars in fraudulent funds.

Melissa T. Stevenson, 42, of Jennings, pleaded guilty in May to one felony count of bank fraud. She admitted submitting three fraudulent applications for PPP loans from March 2021 through December 2021 that yielded a total of $263,284.

The $279,201 Stevenson now owes to the U.S. Small Business Administration (SBA) includes the amount of her Paycheck Protection Program (PPP) loans plus interest. Stevenson submitted fraudulent applications for a PPP loan for a business named 'Our Love CDS' on two occasions in 2021, she admitted in her plea. Both applications contained falsely inflated information about the number of employees and the monthly payroll and included a false IRS Form 940 (Employer's Annual Federal Unemployment Tax Return).

Stevenson fraudulently sought another loan for 'Drinks By Melissa,' again falsely inflating income to maximize the loan she would receive, her plea says. Stevenson said she would use the money to retain workers and for other business expenses that were permitted under the program but used the money for personal rent payments, credit card payments, a vehicle, retail purchases and payments to others.

Stevenson also submitted applications for loan forgiveness for some of the PPP loans she received, falsely stating that she had spent all of the loan proceeds on payroll costs. U.S. District Judge Rodney W. Sippel on Thursday sentenced Stevenson to five years of probation and ordered her to pay the restitution.

The PPP loan scheme was perpetrated during the COVID-19 pandemic, when many businesses were struggling to stay afloat. Stevenson's actions not only cheated the system but also put honest business owners at a disadvantage.

Stevenson's case serves as a reminder of the importance of accountability in the financial system and the severe consequences of those who seek to exploit it for personal gain.

Source: https://www.justice.gov/usao-edmo/pr/st-louis-county-woman-sentenced-obtaining-263000-fraudulent-pandemic-loans