A federal grand jury in the Central District of California returned an indictment charging Marisela Nuno, 53, of Los Angeles, with an $18 million scheme to defraud the Paycheck Protection Program and the Economic Injury Disaster Loan program, according to the Justice Department.
The department said the alleged scheme targeted federal stimulus programs authorized under the Coronavirus Aid, Relief, and Economic Security Act. The case concerns businesses and entities Nuno purportedly owned.
According to court documents, Nuno allegedly sought over $15.7 million in Paycheck Protection Program funds and over $2.6 million in Economic Injury Disaster Loan funds by submitting false and fraudulent loan applications. The applications allegedly contained false statements about the entities’ number of employees, average monthly payroll, gross revenues, and eligibility for funding.
Prosecutors also allege she submitted materially false supporting tax documents. The department said she allegedly used the loan funds for purposes not authorized by the programs, including the purchase of private property, business startup costs, and payments to family members.
Nuno is charged with three counts of wire fraud and one count of money laundering. If convicted, she faces a maximum penalty of 20 years in prison on each count of wire fraud, and 10 years in prison on the count of money laundering, the department said.
The FBI Los Angeles Field Office, IRS Criminal Investigation, and the Small Business Administration Office of Inspector General investigated the case, according to the department. Trial Attorney Ariel Glasner of the Fraud Division’s Public Trust and Financial Integrity Section and Trial Attorney Edward Emokpae of the Criminal Division’s White Collar and Corporate Enforcement Section are prosecuting the case.
An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.