Dorde Todorovic News Today

A Chicago woman was sentenced to 18 months in federal prison for her role in a conspiracy to fraudulently obtain more than $16 million in small business loans and grants from the Coronavirus Aid, Relief, and Economic Security (CARES) Act.

According to a 33-count indictment, the defendants paid to have previously dissolved businesses reincorporated in order to use them as shell companies through which they could apply for small business loans and grants under the Coronavirus Aid, Relief and Economic Security Act.

Seven Chicago-area residents have been indicted for allegedly obtaining at least $16 million in fraudulent COVID-19 relief loans for various businesses they claimed to own and operate in Illinois and Florida, federal prosecutors said.

Prosecutors said the defendants submitted fraudulent applications in which they claimed to own businesses in Illinois and Florida.

Seven Chicago-area residents have been charged in connection with an investigation into COVID-19 relief fraud.

The individuals fraudulently took millions in federal funds intended to help businesses in need, a federal indictment alleges.