SCRANTON – Yoel Weiss, 43, of Scranton, Pennsylvania, was meted out a 57-month federal prison sentence on Wednesday, August 20, 2025, for his guilty plea to wire fraud and unlawful monetary transactions. United States District Judge Karoline Mehalchick presided over the sentencing. Weiss was also ordered to pay $858,000 in restitution and will serve a 3-year supervised release.
According to Acting United States Attorney John Gurganus, Weiss fraudulently applied for pandemic stimulus funds through the Economic Injury and Disaster Loan (EIDL) program. He submitted at least seven fraudulent applications on behalf of non-existent corporate entities, with falsified business operations details, including dates and employee counts.
Upon receiving nearly one million dollars in EIDL funds, Weiss misused the money for personal expenses, such as retail shopping, credit card debt, a distillery purchase in New York, and other real estate purchases. His actions also included an obstruction of justice charge when he tried to influence a witness’ testimony before a federal grand jury.
“Mr. Weiss deliberately exploited the EIDL program meant to aid small businesses during the pandemic for his own gain,” said Philadelphia Field Office Special Agent in Charge Yury Kruty. “The sentence reflects our commitment to holding fraudsters accountable.”
The Economic Injury Disaster Loan (EIDL) program, part of the CARES Act, was intended to provide financial relief to businesses affected by the pandemic. The Department of Justice’s COVID-19 Fraud Enforcement Task Force, established on May 17, 2021, focuses on combating such fraud.
Investigation and prosecution were handled by the Internal Revenue Service, Criminal Investigations, with Assistant United States Attorney Luisa Honora Berti leading the case. For more information or to report suspected fraud, call the Department of Justice’s National Center for Disaster Fraud Hotline at 866-720-5721 or use the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
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Key Facts
- State: Pennsylvania
- Agency: DOJ USAO
- Category: Fraud & Financial Crimes
- Source: Official Source ↗
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