Defendants Sentenced to Prison for Pandemic Loan Fraud Scheme
MACON, Ga. – Two defendants were sentenced to serve more than five years in prison each and pay more than two million in restitution for their roles in a wire fraud conspiracy and money laundering scheme to fraudulently obtain COVID-19 relief funds, using the money on luxury cars and other personal items.
James Frank Austin, 51, of Americus, Georgia, was sentenced to serve 63 months in prison to be followed by five years of supervised release and pay $2,185,175.72 restitution to the Small Business Administration (SBA), $1,106,499.62 of which is owed jointly and severally with codefendant Way. Austin pleaded guilty to one count of conspiracy to commit wire fraud, two counts of bank fraud and two counts of money laundering on Aug. 27.
Rosalend Way, 40, of Milledgeville, was sentenced to serve 63 months in prison to be followed by three years of supervised release and pay $1,106,499.62 restitution to the SBA jointly and severally with codefendant Austin. Way was found guilty of one count of conspiracy to commit wire fraud and one count of money laundering on Sept. 24, following a three-day trial that began on Sept. 22.
U.S. District Judge Marc Treadwell handed down the sentences on Dec. 2. There is no parole in the federal system.
“Using stolen taxpayer dollars to purchase a Bentley and other luxury goods at a time of national emergency is wrong, pure and simple, and won’t be tolerated in the Middle District of Georgia,” said U.S. Attorney William R. “Will” Keyes. “Our office and our law enforcement partners will hold fraudsters accountable for profiting at the expense of honest and hard-working citizens.”
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