Dezhon Byrd Pleads Guilty to PPP Loan Fraud
Dezhon Byrd, a 33-year-old Kansas City, Missouri resident, pleaded guilty to federal wire fraud for securing a $20,832 Paycheck Protection Program loan using false revenue statements.
Key Takeaways:
- Dezhon Byrd pleaded guilty to wire fraud over a $20,832 SBA loan obtained through false statements.
- The application falsely claimed $100,000 in gross receipts for 2020 under a sole proprietorship.
- The prosecution forms part of Operation No Doze, a nationwide enforcement initiative targeting pandemic-era loan fraud.
Fraudulent Application and Loan Disbursement Details
Federal investigators determined that Byrd did not operate a retail business producing the reported annual revenue listed on the application. On April 4, 2021, Byrd submitted the application for the federally guaranteed loan administered by the U.S. Small Business Administration under the Coronavirus Aid, Relief, and Economic Security Act. The application represented Byrd as the sole proprietor of a retail business and claimed the company generated $100,000 in gross receipts during 2020. The inaccurate financial information led to loan approval, and the full $20,832 was deposited into Byrd’s bank account on April 21, 2021.
Dezhon Byrd, 33, of Kansas City, Mo., pleaded guilty today to wire fraud in a scheme to fraudulently obtain a Paycheck Protection Plan (PPP) loan totaling $20,832, guaranteed by the U.S. Small Business Administration under the Coronavirus Aid, Relief, and Economic Security…
Operation No Doze Targets Fraudulent Loans
This matter falls under Operation No Doze, an extensive countrywide crackdown focused on illicit borrowings acquired via the SBA’s Paycheck Protection Program. Oversight of this enforcement effort is handled collectively by the SBA, the SBA Office of Inspector General, and the Justice Department’s National Fraud Enforcement Division. The U.S. Attorney’s Office for the Western District of Missouri helped lead the coordinated enforcement effort. Assistant U.S. Attorney Paul S. Becker is prosecuting the case, which was investigated by the Small Business Administration’s Office of Inspector General.
Byrd Faces up to 20 Years in Prison
Statutory provisions dictate that Byrd could receive a maximum penalty of 20 years behind bars in a federal penitentiary, with no option for parole. That penalty represents the statutory maximum established by Congress. Sentence determination will be handled by the federal court following a review of advisory sentencing guidelines alongside relevant statutory elements. A sentencing hearing will be scheduled once the United States Probation Office completes its presentence investigation.