BOSTON (AP)– A Massachusetts male is charged with fraudulently seeking for his information technology company more than $13 million in government loans planned for companies having a hard time due to the fact that of the coronavirus pandemic, federal prosecutors said Wednesday.
Elijah Majak Buoi, 38, of Winchester, was indicted on 4 counts of wire scams and of making an incorrect statement to a banks.
Buoi, who was arrested last month, is totally free on $5,000 cash bail.
Buoi, the president and CEO of Sosuda Tech, LLC, in April and June apparently sent deceptive applications for more than $13 million in forgivable loans guaranteed by the Small company Administration for COVID-19 relief through the Paycheck Protection Program, according to the U.S. lawyer’s office in Boston.
He lied about his variety of staff members and his payroll expenditures and wrongly accredited that the United States was the main residence for his staff members, prosecutors said.
In the application for one loan, he claimed to have 353 staff members, most within the U.S., according to an FBI affidavit. He really had six staff members, including himself, and the other five remained in India, according to the affidavit.
Buoi ultimately received more than $2 million in coronavirus relief funds, prosecutors said.
PPP funds should be used by companies for payroll expenses, interest on home loans, rent and utilities.
An e-mail looking for comment was left Wednesday with Buoi’s federal public protector.
He faces up to 20 years in prison for each wire scams count if founded guilty, and 30 years for the making an incorrect declaration to a financial institution count if convicted, prosecutors said.