U.S. Customs Officer Charged with Fraud Over COVID-19 Relief Loans
In a significant legal development, a U.S. Customs and Border Protection officer has been arrested on charges of wire fraud. This allegation stems from claims that he exploited two fictitious businesses to fraudulently obtain nearly $150,000 from a federal COVID-19 relief fund, designed to assist small businesses affected by the pandemic.
Details of the Allegations
Amer Aldarawsheh, 45, who resides in Moreno Valley, was indicted on five counts of wire fraud after state and federal officials discovered discrepancies in his loan applications. According to the U.S. Attorney’s Office, Aldarawsheh misled the U.S. Small Business Administration (SBA) while applying for loans under the Economic Injury Disaster Loan (EIDL) program on behalf of:
- Nahar Enterprises Inc. – Claimed as a trucking and freight company based in San Bernardino.
- Ameral – Presented as an automotive repair service.
Investigations later revealed that neither of these enterprises had any significant business operations or employees, undermining the legitimacy of the loan applications.
Misappropriation of Funds
Federal prosecutors allege that Aldarawsheh knowingly misused the funds received through the EIDL program for personal gain. Evidence presented indicates that in December 2020, almost $150,000 from the fraudulent loans was transferred to a bank account directly controlled by him. These actions highlight a troubling trend, as the SBA has estimated a significant portion of around $200 billion distributed during the pandemic could be linked to fraudulent claims.
Current Legal Standing
Aldarawsheh has pleaded not guilty to all counts against him. If convicted, he faces a maximum sentence of up to 20 years in federal prison. Following his arrest, he has been released on a $30,000 bond. Meanwhile, the status of his employment with U.S. Customs and Border Protection is currently under consideration, and inquiries have been made to the agency for clarification.
Broader Implications
This case underscores the vulnerabilities in the rapid disbursement of COVID-19 relief funds, which, while crucial in supporting struggling businesses, have also been subject to exploitation. The ongoing investigation reflects the government’s commitment to combating fraud and ensuring that relief programs fulfill their intended purpose of aiding legitimate small businesses during times of crisis.
For further information regarding the impact of the COVID-19 relief programs and government responses to fraud, please refer to relevant resources provided by the U.S. Small Business Administration.