Eight Charged in $7 Million Loan Fraud Scheme
The United States Department of Justice
Eight defendants were charged in the Eastern District of Pennsylvania today with scheming to fraudulently obtain more than $7 million in Paycheck Protection Program (PPP) loans, Economic Injury Disaster Loans (EIDL), and pre-pandemic Small Business Administration (SBA) loans.
According to court documents, beginning in or around January 2018, defendants Frank Hamilton, 52, of Simi Valley, California; Michael Jones, 55, of Azusa, California; Tina Chen, 39, of Diamond Bar, California; Kenny Tran, 38, of Diamond Bar, California; Tim Park, 37, of Northridge, California; Peter An, 37, of Chatsworth, California; Joseph Greco, 42, of Simi Valley, California; Edwin Bonilla, 36, of Los Angeles, California, and others allegedly conspired to apply for SBA, PPP, and EIDL loans on behalf of their respective businesses that were dormant companies or companies with limited business operations. In exchange for fees, Hamilton, Jones, and others made the businesses appear to be functioning companies with operations and employees by creating fake documents, including fake bank statements and fictitious tax documents for the businesses. One conspirator provided a script for other conspirators to use in calls with lenders. The conspirators allegedly obtained over $7 million in PPP, EIDL, and SBA loans.