Milwaukee man pleads guilty to COVID-19 relief fraud

Milwaukee man pleads guilty to COVID-19 relief fraud

Created: April 12, 2021 02:31 PM

MILWAUKEE (AP) - A Milwaukee man has pleaded guilty to obtaining more than $600,000 in fraudulent COVID-19 relief funds.

Federal prosecutors said 42-year-old Stephen Smith entered his plea on Monday.

According to court documents, Smith acknowledged he submitted fraudulent applications for Paycheck Protection Program loans on behalf of three different companies that had folded.

He made false and misleading statements about the companies payroll expenses and directed co-conspirators to send him portions of the loans within days of receiving them. He then used the money to cover personal expenses.

Smith is scheduled to be sentenced July 14 and could get up to 30 years in prison. 

Copyright 2021 The Associated Press. All rights reserved.

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