A woman in Washington state allegedly defrauded a U.S. COVID loan program that was meant for struggling companies by claiming to own a dental services business that never existed, according to a story published on April 23 in the Tri-City Herald.
Bonny Sanders was charged with false, fraudulent, or fictitious claims. If convicted, she faces up to five years in U.S. prison plus a fine of up to $250,000.
In May 2021, Sanders applied to the Paycheck Protection Program as a sole proprietor of a dental services business. Her application listed her home address as the business address, and she claimed the business had a gross income of $863,000. However, she never had this business, according to the story.
Sanders fraudulently received a $21,000 loan through the program, and the loan and interest were forgiven. The program required Sanders to spend at least 60% of the loan on payroll and use the remaining funds on mortgage interest, rent, or utilities, according to the story.
A criminal complaint is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
