Paducah man sentenced to year in prison for CARES Act fraud
PADUCAH, Ky. (KFVS) - A Paducah man was sentenced to one year in prison for fraud related to the Coronavirus Aid, Relief and Economic Security Act.
Javon A. Wiley, 20, was sentenced on Tuesday, January 25. He was also ordered to pay $7,500 in restitution.
According to court documents, Wiley filed fraudulent applications with the Small Business Administration in order to receive Economic Injury Disaster Loan funds, a CARES Act financial assistance program.
This program provided loan assistance, including $10,000 advances, for small businesses and other eligible entities for loans up to $2 million.
The EIDL proceeds could be used to pay fixed debts, payroll, accounts payable and other bills.
Wiley reportedly received a $4,000 grant and $3,500 loan through the EIDL program from the SBA by applying for COVID-19 disaster relief funds for a car detailing business that he claimed to own.
Law enforcement found that the business didn’t exist, and that Wiley had provided false information to the SBA.
Wiley also tried to get an additional $10,000 in COVID-19 relief funds by submitting an application to the SBA for a barber shop that also didn’t exist.
In that application, he claimed the fictitious barber shop employed 10 workers in Paducah and requested a $1,000 grant for each employee.
The United States Secret Service investigated the case with the help of the Paducah Police Department and the SBA Office of Inspector General.
Assistant U.S. Attorney Raymond McGee prosecuted the case.
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