Atlanta – Tiari Collins and Farah Collins have pleaded guilty to one count of conspiracy to commit felony criminal mischief and one count of conspiracy to commit felony criminal mischief. (“EIDL”) program. Tiari Collins, who owns and manages the Collins Financial Services team in Metro Atlanta, has pleaded guilty to at least $ 3.8 million in damages for allegedly defrauding thousands of taxpayers.
“The fraud here is very serious,” said U.S. Attorney Kurt R. Erskin. “Tray Collins betrayed the federal government during this historic epidemic. He and his wife are guilty of stealing government programs designed to support small businesses and their employees fighting the CVD-19 epidemic.
“These pleas are a victory for American taxpayers,” said James E. Dorsey, chief of the IRS Criminal Investigation Department. “It is unfortunate that criminals continue to misappropriate funds allocated to help victims of the CVD-19 epidemic. The IRS-CI will continue to use our financial knowledge to identify fraud, track down funds and prosecute criminals.
“Collins’ family has greedily pocketed stolen government funds to provide relief to small businesses and workers during the CVD-19 epidemic,” said Chris Hacker, an FBI special agent in Atlanta. “Their actions affect every taxpayer, especially those most in need. The FBI will make every effort to ensure that the Federal Fund is used as intended.
According to U.S. Attorney Erskin, the lawsuit, and other evidence, were filed in federal court on March 29, 2020. It is designed to provide emergency financial support. Millions of Americans suffering from the effects of the Covenant-19 epidemic. One of the sources of assistance provided by CARES law is the PPP, which provides for the maintenance of small businesses and some other expenses. Up to $ 349 billion in debt forgiveness is allowed. In April 2020, Congress approved more than $ 300 billion in additional PPP funding. Additional funding was approved by Congress in December 2020.
PPP allows eligible small businesses and other organizations to receive a two-year maturity and one percent interest rate loan. PPP loan income should be used for business expenses, wages, rent, and utilities. PPP allows interest and principal pardons if businesses spend the money within these eight weeks of receipt of these revenues and use at least 75% of the deductible for wages.
In addition to the PPP, Congress expanded SBA’s EIDL program to provide small businesses with a minimum interest rate of $ 2 million before May 2020 and up to $ 150,000 from May 2020. The purpose of these loans was to provide significant financial support to overcome the revenue loss caused by small businesses due to Covid-19. Applicants applying for a loan under the EIDL program are allowed to apply for and receive up to $ 1,000 in advance, up to $ 10,000, which is generally the SBA’s pending application.
Tiari Collins filed applications for six fraudulent PPP loans and five fraudulent EIDL loans between May 1, 2020 and June 30, 2020, totaling more than $ 1.9 million. Farah Collins has filed four of these fraudulent applications and received nearly $ 365,000 in fraudulent PPP and EIDL funding.
Collins’ fraudulent PPP and EIDL loan application, among other things, falsified the company’s average monthly salary, the number of employees working for the company, and the company’s income. Collaborators have also filed false tax returns in connection with many of these applications. Tiari Collins paid another person to prepare the fraudulent payment reports as part of the application. For example, Thierry Collins asked him to prepare a fraudulent payroll report to Collins Financial Services Group LLC (“CFSG”) for a total annual salary of about $ 850,000 and, if necessary, hire staff.
Colinse, who wanted these fraudulent PPP and EIDL loans, owned and controlled the following bodies:
- Collins Investment Services Group, LLC
- Collins Platinum Car Services, LLC
- Fab Financial Business Solutions
- Tax Dragon Professional Network LLC
- T&F Investment Team
- Theory Collins Agency, LLC
Collins have embezzled hundreds of thousands of dollars in unauthorized expenditure on luxury items, personal credit card accounts, and office supplies.
Following the discovery of the fraud, federal agents seized nearly $ 588,900 from the fraud.
Separately, Theory Collins, CFSG, filed thousands of fraudulent federal tax returns between January 2015 and April 2020, causing more than $ 3.8 million in losses to the IRS. Thierry Collins has paid its customers, among other things, fraudulently claiming 3800 business credits for certain forms and fraudulently providing Schedule Cs to reduce customer tax returns. CFSG customers did not authorize Theory Collins to include this materially fraudulent information in their federal tax returns. Internal Revenue Service detectives have been able to detect and prosecute this massive tax fraud, in part by identifying suspicious returnees linked to Theory Collins and the tax preparation, according to information provided by the IRS Project Identification Center. Businesses operating under censorship information obtained as a result of a federal search warrant issued on CFSG on June 2020.
Tiari Collins pleaded guilty to one count of felony criminal mischief and one count of conspiracy to commit felony criminal mischief. Farah Collins pleaded guilty to conspiracy to commit wiretapping.
U.S. District Judge William M.
The case is being investigated by the Federal Bureau of Investigation and the Federal Bureau of Investigation.
Assistant U.S. Attorney Alex R. Sistella and Thomas J. Crepe is suing.
On May 17, 2021, the Attorney General established the Covd-19 Fraud Task Force to increase the efforts of the Department of Justice in collaboration with government agencies to combat and prevent pandemic-related fraud. The task force will intensify its efforts to investigate and prosecute the most responsible domestic and international actors, and will assist agencies responsible for administering aid programs by adding and including coordination mechanisms to prevent fraud, identifying resources and techniques to identify fraudulent actors. Sharing and sharing information and insights from their plans, and pre-implementation efforts. For more information on the department’s response to the epidemic, please visit https://www.justice.gov/coronavirus
Anyone with information about the Covenant-19 fraud case should call the National Department of Justice (NCDF) at 866-720-5721 or the NCDF Web Complaint Form at https: // www. .justice.gov / disaster-fraud / ncdf-disaster-complaint-form.
For more information, please contact the U.S. Attorney General’s Office at USAGAN.PressEmails@usdoj.gov or (404) 581-6016. The website for the US District Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.