Related Federal Cases
- Steven E. Jones Sentenced to 26 Months for Investment Wire Fraud, L… · Idaho
- Alejandro Hidalgo, Retail Fraud Scheme, Idaho 2016 · Texas
- Devin Arthur Searcy, Wire Fraud, Idaho 2024 · Oklahoma
- Timothy Semones, Wire Fraud, Idaho 2020 · Idaho
- Terry L. Gantt, ID Theft and Wire Fraud, Cedar Rapids IA, 2012 · Idaho
COVID-19 Relief Fraud Rocks Idaho
A Boise man has pleaded guilty to using COVID-19 relief funds for personal expenditures and falsifying records to conceal thousands of dollars of in-kind contributions by employees in a report to the Federal Elections Commission (FEC).
Nicholas Jones, 36, of Boise, Idaho, applied for and received COVID-19 relief funds, including through the Paycheck Protection Program (PPP) and Economic Injury Disaster Loans (EIDL), totaling $753,600 in 2020. Despite certifying that these funds would only be used for business-related expenditures, Jones used a significant portion of the funds for personal expenses, including car payments, life insurance policies, and political advertisements.
Jones, who ran as a candidate for the U.S. House of Representatives in 2020, told employees of his small business that they could continue to be paid their normal wages if they worked on his congressional campaign. Employees reported to work on behalf of Jones’s congressional campaign and were paid thousands of dollars in wages through Jones’s small business, including, in part, with funds Jones had received as part of a PPP loan. After losing the primary election, Jones caused his campaign committee to file a campaign finance report with the FEC, which omitted any in-kind contributions from any entity or individual other than Jones, including the thousands of dollars of in-kind contributions to his campaign in the form of employee time and work.
Jones pleaded guilty in the U.S. District Court of Idaho to wire fraud and falsification of records. He will be sentenced at a later date. Jones faces a maximum total of 20 years in prison on each count. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Rafael M. Gonzalez Jr. commended the investigation by the Federal Bureau of Investigation, which led to the charges.
According to court documents, Jones used a significant portion of the funds for personal expenses, totaling over $753,600 in COVID-19 relief funds received in 2020. The funds were meant to help struggling small businesses during the pandemic.
Jones’s scheme has been described as a brazen abuse of the COVID-19 relief program. The case highlights the need for stricter oversight and accountability in the distribution of pandemic relief funds.
Key Facts
- State: Idaho
- Category: Fraud & Financial Crimes
- Source: DOJ Press Release â†â€â€
ðŸâ€Â’ Get the grimiest stories delivered weekly. Subscribe free →
MORE FEDERAL CRIME NEWS
US NewsUS NewsUS NewsUS News