Marion Bae, FISM News
While Americans’ trust in government agencies continues to plummet, news broke of several government employees that used their positions for their own financial greed.
On Tuesday, the U.S. Department of Justice released a statement regarding five current or former Internal Revenue Service (IRS) employees who defrauded COVID-19 relief programs, collectively claiming more than $400,000.
These funds were acquired through fraudulent applications sent through the Paycheck Protection Program (PPP) as well as the Economic Injury Disaster Loan (EIDL) program. Each of the five individuals filed multiple applications, with some creating false businesses for this purpose, collectively seeking more than $1 million.
The employees named in the report were Brian Saulsberry (46), Courtney Quinshe Westmoreland (38), Fatina Hewitt (35), Roderick DeMarco White II (27), and Tina Humes (56). Saulsberry, Humes, and White are all employed in Memphis, Tennessee. Westmoreland was in Cordova, Tennessee, and Hewitt in Olive Branch, Mississippi, both of which are suburbs of Memphis.
In addition to defrauding the federal loan programs, Westmoreland also fraudulently received just over $16,000 dollars in unemployment insurance benefits, while remaining a full-time employee of the IRS.
While many other Americans were given a few thousand dollars in stimulus payments, at most, these five individuals claimed tens of thousands each.
In addition to fraudulently claiming funds, the manner in which the IRS employees spent the money was particularly irritating. The statement notes they used funds for trips to Las Vegas, luxury merchandise, jewelry, spa services, and a Mercedes-Benz, among other things.
“These individuals — acting out of pure greed — abused their positions by taking government funds meant for citizens and businesses who desperately needed it,” U.S. Attorney Kevin Ritz of the Western District of Tennessee said. “I thank our law enforcement partners for rooting out this fraud. Our office will not hesitate to pursue and charge individuals who steal from our nation’s taxpayers.”
Money laundering carries a maximum penalty of 10 years per count, while wire fraud carries a maximum penalty of 20 years per count. Hewitt, White, and Humes were all charged with one count of wire fraud and have all pleaded guilty.
Saulsberry, who received the greatest amount of fraudulent loan funds ($171,400) was charged with two counts of wire fraud and two counts of money laundering. Westmoreland was charged with three counts of wire fraud.
While the crimes of federal employees are particularly egregious, they are by no means the only ones to have taken advantage of COVID-19 relief loan programs. To date, over $75 million in fraudulently claimed PPP funds, along with luxury goods and real estate purchased with such funds, has been seized in 95 criminal cases involving 150 defendants.