Seattle-area tech executive gets 2 years in jail in $ 5.5 million scheme to defraud COVID relief program



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(Image Justice.gov)

A Seattle-area tech executive who attempted to fraudulently obtain COVID-19 disaster relief loans through the Paycheck Protection Program was sentenced to two years in prison on Tuesday.

Mukund Mohan, 48, of Clyde Hill, Wash., Pleaded guilty to wire fraud and money laundering charges on March 15. He was initially charged in July 2020.

The Western Washington District Attorney’s Office said in a press release that Mohan had submitted eight fraudulent disaster loan applications for more than $ 5.5 million. In support of these claims, false and amended documents were submitted, including false federal income tax returns and amended incorporation documents.

Court documents have revealed, for example, that Mohan made false statements to a lender that in 2019 his company Mahenjo Inc. had dozens of employees and paid millions of dollars in wages and payroll taxes. He submitted false incorporation documents and fake tax forms suggesting that the company was in business before 2020, but he in fact bought Mahenjo in May 2020, had no employees and no business activity at the time of the purchase. .

Five of the eight fraudulent loan applications have been approved, and Mohan has secured nearly $ 1.8 million in COVID-19 relief funds.

Mohan’s prior technical experience includes a stint at Amazon Business, where he was Director of Product Management. He was also previously Director of Microsoft Ventures and Director of Engineering for Microsoft’s cloud and enterprise operations.

“When individuals like Mr. Mohan abuse benefit programs under the CARES Act to enrich themselves unjustly, they rob those who are most vulnerable,” said Corinne Kalve, Acting Special Agent in charge of Criminal Investigations. the IRS, in a statement. “Today, Mr. Mohan is held responsible for the harm his greed has caused our friends, families and communities.”

In the months since the start of the PPP, lawyers in the Justice Department’s fraud section prosecuted more than 100 defendants in more than 70 criminal cases, seized more than $ 65 million in cash from PPP funds. fraudulently obtained, as well as many real estate properties. and luxury items.

In addition to the jail term, Mohan was ordered to pay a fine of $ 100,000 and $ 1,786,357 in restitution.



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