In a significant development, Andra Shirone Thompson, a 47-year-old resident of Silver Spring, Maryland, has admitted to his involvement in a conspiracy to defraud the Coronavirus Aid, Relief, and Economic Security (CARES) Act loan programs. He also confessed to his role in a long-standing scheme to deceive commercial equipment financing companies.
CARES Act Fraud by Thompson
Thompson was part of a conspiracy that submitted fraudulent applications for Economic Injury Disaster Loans (EIDLs) and Paycheck Protection Program (PPP) loans. These applications were made on behalf of several companies that Thompson controlled, including Alpha Bravo Tango LLC., Senergy Consulting Group Inc., and Novus Ordo Seclorum LLC. As a result of these fraudulent applications, Thompson managed to unlawfully obtain $716,375.
Personal Expenditure
Thompson, after fraudulently obtaining a substantial sum of money, indulged in a lavish lifestyle that many could only dream of. He did not hesitate to spend a significant portion of these ill-gotten gains on personal luxuries, demonstrating a complete disregard for the law and the welfare of those who were genuinely in need of the funds.
One of his most extravagant purchases was a 2014 Lamborghini Aventador. This high-performance luxury sports car, known for its speed, power, and striking design, is a symbol of opulence and is often associated with wealth and status. The Aventador, with its price tag running into hundreds of thousands of dollars, is not a vehicle one comes across every day. It’s a car that turns heads and makes a statement about the driver’s affluence.
In addition to the Lamborghini, Thompson also invested heavily in real estate. He used part of the fraudulently obtained money to fund renovations for a home in North Carolina. Home renovations can be a costly affair, especially when they involve high-end upgrades and luxurious finishes. It’s clear that Thompson spared no expense in transforming the property into a personal haven that reflected his taste for the finer things in life.
Commercial Equipment Financing Fraud
In addition to the CARES Act fraud, Thompson was also involved in a conspiracy to defraud equipment financing companies. This was achieved by submitting fraudulent invoices that falsely claimed the sale of substantial quantities of computer servers and related equipment. Thompson and his co-conspirators encouraged borrowers to submit these invoices to lenders to support their loan applications for purchasing the items listed on the invoices.
Once the loans were approved, the proceeds were deposited into accounts controlled by Thompson and his co-conspirators. However, unbeknownst to the lenders, the sales indicated by the invoices never took place. Thompson and his co-conspirators typically returned a portion of the proceeds to the borrower who submitted the application and kept the rest for themselves. Thompson personally participated in three instances of this scheme, resulting in approximately $813,362 in fraudulently induced lending.
Legal Proceedings
Thompson has pleaded guilty to two counts of conspiracy to commit wire fraud. Each count carries a maximum penalty of five years in prison. The sentencing date is yet to be set. A federal district court judge will determine the sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Announcement and Investigation
The announcement of Thompson’s guilty plea was made by several high-ranking officials. These included Principal Deputy Assistant Attorney General Nicole Argentieri, head of the Justice Department’s Criminal Division; U.S. Attorney Erek Barron for the District of Maryland; Special Agent in Charge Kareem Carter of the IRS Criminal Investigation (IRS-CI) Washington, D.C., Field Office; Special Agent in Charge Jeffrey Pittano of the Federal Deposit Insurance Corporation Office of Inspector General (FDIC-OIG), Mid-Atlantic Region; Special Agent in Charge Amaleka McCall-Braithwaite of the Small Business Administration Office of Inspector General (SBA-OIG), Eastern Region; and Assistant Director Michael D. Nordwall of the FBI’s Criminal Investigative Division.
The case is currently under investigation by IRS-CI, FDIC-OIG, SBA-OIG, and the FBI. The prosecution is being handled by Trial Attorney David A. Peters of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Joseph Wenner for the District of Maryland.
Conclusion
This case serves as a stark reminder of the consequences of fraudulent activities. It underscores the commitment of law enforcement agencies to bring to justice those who seek to exploit government programs and commercial lending institutions for personal gain. The diligent efforts of the investigators and prosecutors in this case are commendable and send a strong message about the seriousness with which such crimes are treated.
