Man Charged for $10M COVID-19 Relief Fraud Scheme

A California man made his initial appearance in Alexandria, Virginia, today to face charges for a scheme to fraudulently obtain more than $10 million in Coronavirus Aid, Relief, and Economic Security (CARES) Act loans.

According to court documents, Craig David Davis, 50, of Marina Del Rey, allegedly submitted fake tax documents and business records to three banks to obtain two Paycheck Protection Program loans and one Main Street Lending Program loan totaling $10,695,300.

Davis is charged with four counts of wire fraud. If convicted, he faces a maximum penalty of 20 years in prison on each count.

Acting Assistant Attorney General Nicole M. Argentieri of the Justice Department’s Criminal Division, U.S. Attorney Jessica Aber for the Eastern District of Virginia, Special Inspector General for Pandemic Recovery Brian Miller, and Executive Special Agent in Charge Kareem Carter of the IRS Criminal Investigation (IRS-CI) Washington D.C. Field Office made the announcement.

The Special Investigator for Pandemic Recovery and IRS-CI are investigating the case, with assistance from the Federal Deposit Insurance Corporation Office of Inspector General, Small Business Administration Office of Inspector General, Board of Governors of the Federal Reserve System and Consumer Financial Protection Bureau Office of Inspector General, FBI, Social Security Administration Office of the Inspector General, and Homeland Security Investigations (HSI).

Trial Attorney David A. Peters of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Kathleen Robeson for the Eastern District of Virginia are prosecuting the case.

An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.