Recidivist Fraudster Convicted At Trial Of Over $10 Million COVID-19 Loan Fraud Scheme

On November 1, 2022, a non-DOJ individual was found guilty of one count of major fraud against the United States, one count of conspiracy to commit wire and bank fraud, one count of wire fraud, one count of bank fraud, one count of aggravated identify theft, and one count of conspiracy to commit money laundering.  Adedayo Ilori was convicted in the Southern District of New York.  According to court documents and the evidence presented at trial, from in or about August 2020 through in or about October 2021, Ilori conspired with a co-defendant, Chris Recamier, to fraudulently obtain Paycheck Protection Program (PPP) Loans and Economic Injury Disaster Loans (EIDL) designed to provide relief to small businesses during the COVID-19 pandemic.  Ilori and Recamier applied for 14 PPP and EIDL loans.  In applying for these loans, Ilori and Recamier used stolen identities and falsely claimed to employ more than 200 staff with a monthly payroll of $3.2 million.  They attempted to obtain more than $10 million through government programs and successfully obtained more than $1 million.  Ilori and Recamier utilized the majority of the stolen funds for cryptocurrency investments, the purchase of stocks, cash withdrawals and paying for personal expenses to include leasing luxury apartments and a Mercedes-Benz.  Recamier previously pleaded guilty to major fraud against the United States and was sentenced on October 17, 2022, to nine years in prison.  Ilori’s sentencing is scheduled for January 31, 2023.  This investigation is being conducted by the OIG’s Cyber Investigations Office on behalf of the Pandemic Response Accountability Committee with operational assistance provided by the OIG’s New York Field Office.