Teldrin Foster, Paycheck Protection Program Fraud, Georgia 2024

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Teldrin Foster, Paycheck Protection Program Fraud, Georgia 2024

ATLANTA, Georgia – Teldrin Foster, a defendant in a scheme to steal Paycheck Protection Program (PPP) funds during the COVID-19 pandemic, has been sentenced to prison for his role in the fraud.

Foster, along with co-defendants John Gaines and Carla Jackson, took advantage of a relief program designed to help small businesses stay afloat during the pandemic. The defendants, including 20 others who have already been sentenced, deprived the program of funds desperately needed by the most vulnerable in society.

According to U.S. Attorney Ryan K. Buchanan, Foster worked with co-defendant Darrell Thomas and others to fraudulently obtain at least 14 loans, totaling over $11 million. The loan applications falsely certified that each applicant’s business was in operation on February 15, 2020, and had employees for whom it paid salaries and payroll taxes or paid independent contractors.

The loan applications also falsely stated that the funds would be used to retain workers and maintain payroll or make mortgage interest payments, lease payments, and utility payments. However, none of the businesses had employees or incurred payroll expenses. The supporting documents, including Form 941s, bank statements, and W2 payroll spreadsheets, were fabricated.

Gaines, another defendant in the scheme, worked with co-defendant Thomas to obtain a fraudulent PPP loan in the amount of $806,710 for a Georgia business called Gaines Reservation and Travel. The business had no employees or payroll expenses, and the loan application was supported by fabricated bank statements that reflected fake payroll deductions.

Foster was sentenced to prison, but the exact date and length of his sentence are not specified in the article. Gaines has also been sentenced, but the details of his sentence are not provided. Carla Jackson’s sentence is also not specified in the article.

U.S. Attorney Buchanan stated that the sentences send a clear message that fraud against the government will not be tolerated. The FBI and IRS will continue to hold accountable those who abused taxpayer dollars and diverted them from citizens who desperately needed them.

The case highlights the importance of holding individuals accountable for their actions, even if it takes time. Those who took advantage of the COVID-19 pandemic relief programs are realizing that they are still being held accountable, even four years after the programs were enacted.

Teldrin Foster, along with John Gaines and Carla Jackson, is one of 23 individuals who have been convicted and sentenced in connection with the fraudulent PPP scheme.