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Feds: Man fraudulently requested $ 13 million in COVID-19 loans – Boston News, Weather, Sports

BOSTON (AP) – A Massachusetts man is accused of fraudulently seeking for his information technology company more than $ 13 million in government loans intended for businesses struggling due to the coronavirus pandemic, said Wednesday federal prosecutors.

Elijah Majak Buoi, 38, of Winchester, has been charged with four counts of wire fraud and false reporting to a financial institution.

Buoi, who was arrested last month, is released on $ 5,000 cash bond.

Buoi, the president and CEO of Sosuda Tech, LLC, in April and June, allegedly submitted fraudulent claims for more than $ 13 million in forgivable loans guaranteed by the Small Business Administration for COVID-19 relief via the Paycheck Protection Program, according to the American lawyer. office in Boston.

He lied about his number of employees and salary expenses and falsely certified that the United States was his employees’ primary residence, prosecutors said.

In the loan application, he claimed to have 353 employees, most of them in the United States, according to an FBI affidavit. He actually had six employees, including himself, and the other five were in India, according to the affidavit.

Buoi ultimately received more than $ 2 million in coronavirus relief funds, prosecutors said.

PPP funds are to be used by businesses for salary costs, mortgage interest, rent, and utilities.

An email requesting comment was left with Federal Public Defender Buoi on Wednesday.

He faces up to 20 years in prison for each count of wire fraud if convicted, and 30 years for making a false statement to a financial institution if convicted, prosecutors said.

(Copyright (c) 2021 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.)

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