Two West Richland business owners have been accused by a federal grand jury for filing false claims for $800,000 in COVID-19 relief under the 2020 Coronavirus Aid, Relief and Economic Security Act, according to a U.S. news release. Attorney’s office for Washington’s Eastern District.
In a press release, it was stated that a grand jury had indicted 52-year-old Jimia Rae Cain on seven counts of fraud relating to loans under the Paycheck Protection Program and loans for economic injury disasters. It was claimed that Cain had made false statements to obtain about $330,000 in loans in 2020. According to a press release, the grand jury also charged 45-year-old Andrei Borgheriu with three counts of fraud in connection with the $500,000 in EIDL loans that Borgheriu used to buy a house.
According to the press statement, Cain faces allegations that may result in a sentence of 30 years in jail, while Borgheriu faces charges that might result in a sentence of 20 years. Federal agents are also attempting to seize Borgheriu’s residence, it was added.
PPP loans were created in accordance with the CARES Act’s provisions to assist small businesses in paying payroll and other business expenses with the intention of forgiving that portion of the loan later, whereas EIDL loans were created to assist small businesses in remaining open during pandemic-related closures.
