Army soldier steals $41,000 in COVID loans by lying about pie sales

In late 2023, a U.S. Army soldier stationed at Fort Gregg-Adams in Virginia was indicted for fraudulently obtaining COVID-19 relief loans. The soldier, holding the rank of sergeant first class, Falsely claimed to the Small Business Administration that he earned $100,000 from a pie sales business named 'Granny's Delight' in 2020. He submitted a fake IRS tax return with his loan applications under the Paycheck Protection Program (PPP), which was designed to support small businesses during the COVID-19 pandemic. Federal prosecutors indicated that the soldier was not alone in his fraudulent actions. He was one of three active-duty soldiers accused of defrauding the Small Business Administration while stationed at the military base. The U.S. Attorney's Office for the Eastern District of Virginia reported that another soldier, a 42-year-old Army major, and a 30-year-old sergeant also submitted False loan applications by lying about their job earnings. The fraudulent loans received by the soldiers were intended to ensure financial support during a time of economic distress caused by the pandemic. However, these loans were misappropriated for personal expenses, including expenditures at local golf courses, resorts, and casinos. Prosecutors stated that the major pleaded guilty to fraudulently obtaining a PPP loan, while the sergeant also accepted a guilty plea for similar charges. As a result, these actions have led to serious legal consequences for the individuals involved. They face possible prison sentences, with the sergeant potentially facing up to 20 years if convicted. These events serve as a stark reminder of the misuse of relief funds intended to aid small businesses struggling during the pandemic.