Five Former IRS Employees Sentenced for COVID-19 Relief Fraud in Memphis

Five Former IRS Employees Sentenced for COVID-19 Relief Fraud in Memphis

In a shocking turn of events, Memphis has found itself at the center of a scandal involving five former employees of the IRS who exploited federal COVID-19 relief programs. Together, they managed to defraud the government of more than $1 million, using their insider knowledge to line their pockets during a time when many were struggling.

The CARES Act Under Threat

The individuals involved — Brian Saulsberry, Courtney Quinshe Westmoreland, Fatina Hewitt, Roderick DeMarco White II, and Tina Humes — took advantage of the CARES Act, which was designed to support Americans during the pandemic by providing federal stimulus funds. Initially aimed at helping people and small businesses recover from financial hits, these programs instead became a playground for these dishonest workers to indulge in lavish purchases.

How They Did It

The U.S. Attorney’s Office reported that the group engaged in a scheme where they submitted fraudulent applications to gain access to funds intended for legitimate businesses affected by COVID-19. Saulsberry, who worked as a program evaluation and risk analyst in the Memphis Human Capital Office, was identified as a ringleader in this operation.

According to court documents, he managed to steal $171,400 from the Economic Injury Disaster Loan (EIDL) program by fabricating applications. As if that wasn’t enough, he reportedly funneled the stolen money into his personal checking account and used it for exorbitant expenses, which included buying cars and luxury items, as well as funding personal vacations, including trips to Las Vegas!

Legal Consequences

As the investigation unfolded, the consequences came swiftly. Saulsberry pleaded guilty to one count of money laundering in December 2023. Just last week, a federal judge handed down his sentence: 18 months in prison, followed by two years of supervised release. In addition, he was ordered to pay back the full amount of $171,400 to the government, marking a serious end to his ill-gotten gains.

While the sentences for the other four suspects in this scheme have not yet been disclosed, this case serves as a harsh reminder of the severe implications of fraud, especially in a time when many are depending on government relief to get by. The fact that those in positions meant to help others chose to engage in such fraudulent activities has left many in the Memphis community feeling betrayed.

A Call for Vigilance

This unfortunate situation highlights the necessity for constant vigilance in the oversight of federal programs, particularly as the nation continues to navigate the aftermath of the pandemic. As more information unfolds and possibly more sentences are handed down, it’s important for individuals to watch out for such behaviors and report any suspicious activities.

As Memphis recovers, this debacle adds to the growing list of challenges being faced. Community members are encouraged to remain informed and involved, ensuring that their voice matters in the oversight of federal programs designed to support them during tough times.

In closing, let’s keep our spirits high, but also keep our eyes open. The actions of a few should not overshadow the good that many are still trying to do to support others during these challenging times.