A federal jury in Tampa has found 54-year-old Barrett Purvis guilty of wire fraud and money laundering in connection with a $500,000 COVID-19 small business loan scam. Purvis faces a maximum penalty of 20 years in federal prison for the wire fraud offense and up to 10 years imprisonment for the money laundering offense.

Purvis was indicted on March 30, 2023, and sentencing is scheduled for August 12, 2024. According to testimony and evidence presented at trial, Purvis applied for and received the loan in May 2021, but never intended to use any of the proceeds on working capital as required by the terms of the loan agreement.

Instead, Purvis spent approximately half of the proceeds on gambling debt and the rest on other personal debt, including debt incurred on his girlfriend’s three credit cards. Within two weeks of receiving the loan, Purvis had used nearly all the proceeds on personal expenses, unrelated to any legitimate business.

The case was investigated by the Internal Revenue Service – Criminal Investigation. It is being prosecuted by Assistant United States Attorney Candace Garcia Rich.

In a statement, U.S. Attorney Roger B. Handberg said, “This verdict demonstrates our commitment to holding accountable those who seek to exploit the system and commit fraud during times of crisis.”

The COVID-19 Fraud Enforcement Task Force, established in May 2021, worked to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud.

This case is a prime example of the types of schemes the task force was designed to target. By investigating and prosecuting cases like this, we can ensure that those who commit pandemic-related fraud are held accountable and that relief programs are protected from abuse.

Purvis’s actions were a blatant disregard for the terms of the loan agreement and a betrayal of the trust placed in him as a small business owner.

The Department of Justice will continue to work tirelessly to investigate and prosecute cases like this, bringing those who commit pandemic-related fraud to justice.