Six Texas men were sentenced to prison for their roles in a massive $20 million COVID-19 relief fraud scheme, officials announced today.
The defendants, who were part of a conspiracy to fraudulently obtain Paycheck Protection Program (PPP) loans, were sentenced to prison terms ranging from one year and one day to three years and eight months.
Hamza Abbas, 31, Ammas Uddin, 31, and Arham Uddin, 27, all of Richmond, were sentenced to three years and eight months, one year and six months, and one year and six months in prison, respectively.
Syed Ali, 55, of Sugar Land, was sentenced to two years in prison, while Muhammad Anis, 55, and Jesus Acosta Perez, 33, both of Houston, were sentenced to one year and nine months and one year and one day in prison, respectively.
The defendants pleaded guilty to their roles in the conspiracy, which involved submitting false and fraudulent PPP loan applications. The applications included fake bank records and federal tax forms in support of the loan applications.
Abbas also recruited others into the conspiracy and created fraudulent bank records that were used in support of the loan applications in exchange for kickbacks.
The defendants laundered a portion of the fraudulent proceeds by writing checks from companies that received PPP loans to fake employees. The fake paychecks were cashed at certain cash checking businesses, including one owned by another co-conspirator.
Related Federal Cases
- Nicole Pennington, COVID Loan Scam, KY, 2023 · Mississippi
- James Pavlounis, Social Security Administration Fraud and Tax Evasi… · Texas
- Juan A. Tony Marrero, Medicare Fraud Scheme, Miami FL, 2023 · Mississippi
- John Q. Smith, $50M Fraud Ring, Washington DC, 2025 · Texas
- FDIC Agencies Offer Regulatory Relief for Financial Institutions Af… · Texas
Key Facts
- State: Texas
- 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