The Department of Justice announced on Tuesday new criminal charges, convictions, and sentences as part of its ongoing initiative to prosecute fraud in connection with various pandemic relief programs under the Coronavirus Aid, Relief, and Economic Security (CARES) Act, including the Paycheck Protection Program (PPP) and the Economic Injury Disaster Loan (EIDL) program, as well as other crimes relating to the COVID-19 pandemic.
“The Criminal Division and our partners are committed to identifying and holding accountable those who exploit the COVID-19 pandemic for their own gain,” said Assistant Attorney General Kenneth A. Polite Jr., of the Justice Department’s Criminal Division. “As these cases demonstrate, we are unwavering in our determination to prosecute those who have defrauded relief programs meant to help struggling Americans during the pandemic.”
In Michigan, the following defendants were sentenced:
• Charmaine Redding, 28, of Macomb, Michigan, was sentenced to two years and three months in prison.
• Derek Parker, 57, of Rochester Hills, Michigan, was sentenced to one year and six months in prison.
The following defendant pleaded guilty in Michigan:
• Ricky Dixon, 53, of Warren, Michigan, pleaded guilty to aggravated identity theft and conspiracy to commit money laundering.
The Fraud Section leads the Criminal Division’s efforts to combat fraud related to the COVID-19 pandemic, particularly with respect to the resources made available by Congress through the CARES Act for programs including the PPP, the EIDL, and the Provider Relief Fund. Since the CARES Act passed, Fraud Section attorneys have prosecuted more than 192 defendants in more than 121 criminal cases related to CARES Act programs and funds. The Fraud Section has also seized more than $78 million in cash proceeds derived from CARES Act-related fraud schemes, as well as numerous real estate properties and luxury items purchased with such proceeds. More information can be found at https://www.justice.gov/criminal-fraud/ppp-fraud.
On May 17, 2021, the attorney general established the COVID-19 Fraud Enforcement Task Force 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. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coro navirus.
Information about fake CDC COVID-19 vaccination cards can be reported to HHS-OIG by calling 1-800-HHS-TIPS or 1-800-447-5477. Anyone with information about allegations of fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at https://www. justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
