In a significant legal development, three individuals, including two Mount Vernon brothers, have been convicted in an elaborate eight-million-dollar COVID fraud scheme. The convictions come after a trial in the U.S. Southern District of New York, where the trio faced charges related to a conspiracy to commit wire fraud, wire fraud, and aggravated identity theft.
U.S. Attorney Damian Williams announced on Friday that Quadri Salahuddin, Anwar Salahuddin, and Maryland resident Jacob Carter were found guilty of orchestrating a scheme aimed at defrauding the U.S. Small Business Administration (SBA). The SBA, a key player in providing assistance to struggling small businesses during the pandemic, fell victim to the fraudulent activities of the convicted individuals.
The trio’s modus operandi involved filing over one-thousand fraudulent loan applications with the SBA’s taxpayer-funded program. The loans were intended to support small businesses grappling with the economic fallout of the COVID-19 pandemic. The convictions highlight the severity of the fraud, with the accused facing up to 20 years in prison for two of the counts, including conspiracy to commit wire fraud and wire fraud. Additionally, charges of aggravated identity theft further compound the legal consequences for the convicted individuals.
The legal proceedings shed light on the pervasive nature of fraud targeting relief programs meant for pandemic recovery. The U.S. Department of Justice, particularly the Southern District of New York, has been vigilant in prosecuting individuals attempting to exploit programs designed to aid those in need.
As the legal process unfolds, the convictions underscore the commitment to upholding the integrity of relief initiatives and holding accountable those engaged in fraudulent activities. The sentencing phase will determine the punitive measures imposed on the Mount Vernon brothers and their accomplice for their involvement in the multi-million-dollar COVID fraud scheme.
