Robeson woman gets prison term in COVID loan case

April 9, 2026

Summary

Erica McMillian was sentenced to 10 months in prison in a federal COVID-19 loan fraud case and ordered to repay $150,000.

Why this matters

The case shows that federal authorities are still pursuing fraud tied to pandemic relief programs. It also underscores that false information on government loan applications can lead to prison time, supervision, and repayment orders.

A Robeson County woman was sentenced to 10 months in federal prison after admitting to a scheme involving COVID-19 relief funds.

Erica McMillian was also sentenced to three years of supervised release and ordered to repay $150,000.

According to federal prosecutors, McMillian submitted a fraudulent application during the pandemic for a Small Business Administration Economic Injury Disaster Loan (EIDL).

Investigators said the application listed a business that did not exist. They said McMillian also misstated the number of employees and the company’s revenue, and submitted false tax forms and bank statements to support the application.

After the loan was approved, authorities said the $150,000 was deposited into a personal account she controlled.

U.S. Attorney W. Ellis Boyle said that although pandemic-era loan programs have ended, the government continues to distribute billions of dollars through other programs and will continue to pursue fraud.

The FBI and IRS Criminal Investigation investigated the case. U.S. District Judge Louise W. Flanagan imposed the sentence.

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