NYPD detectives charged in COVID fraud scheme

During the COVID-19 pandemic, the Small Business Administration offered various forms of federal aid specifically aimed at helping small firms and their employees survive the economic downturn. Tribune Content Agency file

Two New York Police Department detectives are among a group of individuals charged with federal wire fraud, according to the U.S. attorney’s office of the Eastern District of New York.

The detectives, John Bolden and Anthony Carreira, are facing conspiracy charges along with Jacqueline Johnson and Christian McKenzie. The group allegedly submitted fraudulent loan applications with the Small Business Administration’s Paycheck Protection Program.

The COVID-era program provided funds to small businesses to cover employee wages.

Bolden and Carreira allegedly owned a tax preparation franchise location, which Bolden used to obtain the funds. The scheme allowed the group and more than 65 individuals to receive funds by submitting applications containing “materially false and fraudulent information,” according to the release.

“As part of the scheme, Bolden prepared fictitious Internal Revenue Service (IRS) Form Schedule C documentation, which accompanied the loan applications, containing false information about his, his co-defendants’ and his clients’ places of employment, gross income and net income,” the release reads.

U.S. Attorney Breon Peace said the group had robbed struggling small businesses of essential aid through the scheme.

“As alleged, the defendants, including members of law enforcement responsible for upholding the law, defrauded the United States government out of relief funds meant for businesses struggling to survive the pandemic,” Peace said. “These arrests are a powerful reminder of this Office’s resolve to prosecute anyone who violated the public trust and took advantage of the COVID crisis by stealing from relief programs.”