Ohioans Accused Of Stealing COVID-19 Relief Funds: DOJ

CLEVELAND — Six people are accused of lying on loan applications to steal $9 million in COVID-19 relief funds, the Department of Justice announced Tuesday.

A federal grand jury in Cleveland indicted Terrence Pounds, 44, from Holland, Ohio, Charles Tiller, 37, of Columbus, Ohio, Terri Davis, 30, of Tennessee, Randolph Nunn, 48, of Canton, Ohio, Samira Abdul-Karim, 27, of Connecticut, and Quwan Simmons, 28, of Connecticut. Each person faces charges of conspiracy to commit wire fraud and wire fraud.

Davis, Tiller, Pounds, and Nunn also face charges of money laundering.

“COVID-19 relief funds are intended to support hardworking Americans and small businesses struggling with financial challenges as a result of the pandemic,” said Acting U.S. Attorney Bridget M. Brennan. “The U.S. Attorney’s Office is committed to pursuing anyone alleged to have fraudulently obtained relief funding.”

Starting in late March 2020 and continuing through Dec. 17, 2020, the six defendants used fraud to secure millions from the Small Business Administration and the Paycheck Protection Program, the indictment said.

Pounds masterminded the plan, recruiting Tiller, Davis, Nunn, Abdul-Karim, Simmons and others, asking them to give him their identifying information, which he used to apply for EIDL loans in their names, the indictment said.

In the loan applications, the indictment said, Pounds wrote that the other five men ran a non-profit, faith-based organization and a church, with $1 million in revenue and 15 employees. The Small Business Administration approved the loan applications, the indictment said.

The five men whose identities helped secure the loan money then paid Pounds a portion of their proceeds, the indictment said.

In total, the six accused people submitted at least 60 fraudulent EIDL loan applications and other PPP loan applications, totaling approximately $9 million, the indictment said.

The investigation into the suspected fraud was led by the Cleveland FBI and the IRS.

"These six individuals allegedly defrauded United States taxpayers by engaging in this scheme,” said FBI Special Agent in Charge Eric B. Smith. “The CARES Act was designed to help struggling Americans, not for greedy fraudsters to line their pockets. The FBI will continue to work with our partners to root out cheaters engaged in criminal financial deception.”