A Robeson County man pleaded guilty after federal prosecutors said he fraudulently obtained more than $170,000 in COVID-19 relief funds.
The U.S. Attorney’s Office for the Eastern District of North Carolina said Phillip Collins, 47, admitted to conspiracy to commit wire fraud tied to applications submitted through the Small Business Administration’s Economic Injury Disaster Loan program and the Paycheck Protection Program.
Prosecutors said Collins submitted false loan applications for a Robeson County business, misrepresenting the company’s number of employees and gross revenue. Investigators said he also provided false tax documents and bank statements in support of the applications.
Officials said the approved loans led to $170,833 being deposited into a personal bank account controlled by Collins.
U.S. Attorney W. Ellis Boyle said his office would continue pursuing fraud involving government programs.
“Although the government may have stopped doling out COVID money, our government continues to hand out billions in other loans, subsidies, and programs,” Boyle said. “This office will continue to hold accountable anyone who defrauds any of our taxpayer-funded programs. Crime doesn’t pay. Cheaters. Never. Win.”
The FBI and IRS Criminal Investigation investigated the case.