AMarshall County woman now admits she managed to take out a fake loan for $149,900.
Do you remember those federal Covid-19 pandemic relief funds known as PPP loans?
The government handed out billions of dollars to small businesses to help keep them afloat during the worst of the pandemic shutdowns. During that time, a Marshall County woman took out a loan under false pretenses, to the tune of $149,900.
Inside a Huntsville federal courtroom Monday, Kaylee Harris pleaded guilty to theft of government funds in the scheme, which was uncovered by federal agents.
Harris said in July 2020, she created a fake business name to secure the money before she illegally sent some of it to another person living in Texas.
The U.S. Attorney’s Office said in a statement, "the Paycheck Protection Program was designed to provide critical funds to small businesses during the middle of a global pandemic — and to do so quickly. But individuals like the defendant took advantage of the program and exploited it for their personal gain."
Harris could face up to 10 years in prison. Her sentencing is scheduled for early next year. For now, she remains in jail without bond on another charge out of Arkansas.
"Our office remains committed to using every tool at our disposal, including criminal and civil actions, to ensure that all who abused this small business loan program are held accountable for their actions," said Stacy Crane with the U.S. Attorney's Office.
