Sentencing and Charges
A Mississippi man, Herman Nash, has been sentenced to 18 months in prison for defrauding a pandemic relief fund out of $800,000. Nash, 63, pleaded guilty to fraud charges in April. On Monday, U.S. Senior District Judge Glen H. Davidson imposed the sentence, which also includes five years of supervised release and an order to pay $738,000 in restitution. The IRS has seized two vehicles from Nash worth more than $60,000.
Details of the Fraud
Nash, a resident of Caledonia, applied for three COVID-19 Economic Injury Disaster Loans (EIDL), falsely claiming he operated a business with $455,000 in gross revenue and $90,000 worth of goods sold. According to a news release from Clay Joyner, the U.S. Attorney for Northern Mississippi, these claims were fabricated to obtain pandemic relief funds illegitimately.
Prosecutor’s Statement
“This defendant stole money that was intended to help legitimate businesses survive during the COVID pandemic, and now he is paying the price for that conduct,” said U.S. Attorney Clay Joyner. Joyner emphasized the significance of holding individuals accountable for exploiting relief programs designed to assist businesses in distress due to the pandemic.
Restitution and Asset Seizure
In addition to his prison sentence and supervised release, Nash is required to pay $738,000 in restitution to compensate for the stolen funds. The IRS has also seized two of Nash’s vehicles, valued at over $60,000, as part of the efforts to recoup the defrauded money.
