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The FBI arrests the former Amazon and Microsoft executive for more than $ 5.5 million in coronavirus relief fund fraud

The FBI arrests the former Amazon and Microsoft executive for more than $ 5.5 million in coronavirus relief fund fraud

  • Mukund Mohan, 48, was accused of claiming $ 5.5 million in fraudulent loans
  • He claimed money to which he was not entitled under the Paycheck Protection Program
  • PPP is designed to enable small businesses to pay their staff during the corona virus
  • Mohan has been charged with one count of wire fraud and another of money laundering

Mukund Mohan, 48, has been accused of submitting fake documents and incorporation records

Mukund Mohan, 48, has been accused of submitting fake documents and incorporation records

A manager of technology in Washington has been taken into custody and charged a $ 5.5 million coronavirus relief fund fraud.

Mukund Mohan, 48, has been accused of submitting fake documents and withdrawal data to claim money from the Paycheck Protection Program (PPP) – which was set up to help companies employ personnel during the corona virus.

The ‘serial entrepreneur’, who spoke about business management during a TED talk in 2015, has been accused of one telegraph fraud and another of money laundering.

Mohan from Washington is said to have submitted eight fraudulent PPP loan applications on behalf of six different companies.

He has “made countless false and misleading statements about the respective operations and wages of the companies,” the Justice Department said.

In one example, Mohan told a lender, the Peoples’ Bank, that his company Mahenjo had dozens of employees.

He actually bought Mahenjo from the Internet in May, when it had no employees or business activities, from a company that specialized in ‘aging’ shell companies, so that they seemed legitimate.

Mohan deposited $ 231,000 of the loan into his personal trading account.

Mohan currently works as chief technology officer at the online Canadian building materials store BuildDirect, according to his LinkedIn.

He previously worked as a director of product management at Amazon Business and as a director of Engineering at Microsoft Cloud and Enterprise Business.

Ziganitt LLC, one of the companies for which he has filed an application for coronavirus relief, is led in part by his teenage son – the Chief Marketing Officer.

Mohan is currently working as Chief Technology Officer at the online Canadian building materials store BuildDirect, according to his LinkedIn (photo)

Mohan is currently working as Chief Technology Officer at the online Canadian building materials store BuildDirect, according to his LinkedIn (photo)

Mohan is currently working as Chief Technology Officer at the online Canadian building materials store BuildDirect, according to his LinkedIn (photo)

It links gamers to developers who need to test their games, according to Geekwire’s profile.

Mohan received $ 304,830 in PPP loans for the company, despite never paying employee wages or payroll taxes.

And many of Mohan’s alleged technical exploits were fabricated or exaggerated, according to a 2015 report on Delhi-based news site Inc42.

The Coronavirus Aid, Relief and Economic Security Act is a federal law designed to provide emergency financial aid to Americans suffering from the economic consequences of COVID.

He is accused of filing these applications for loans costing more than $ 5 million for five different companies

He is accused of filing these applications for loans costing more than $ 5 million for five different companies

He is accused of filing these applications for loans costing more than $ 5 million for five different companies

Small businesses can claim up to $ 349 billion in forgiving loans through the PPP for job preservation and certain other expenses.

In April 2020, Congress approved over $ 300 billion in additional PPP funding.

Thanks to the PPP, small businesses and other organizations can qualify for loans at an interest rate of one percent.

The money must be used for labor costs, interest on mortgages, rent and utilities, and interest and principal to be forgiven if companies spend the proceeds on these expenses within a certain period of time.

At least a certain percentage of the loan must be spent on labor costs.

The investigation is still ongoing.

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