Francis J. Battista, a resident of Aston, Pennsylvania, was convicted on charges of wire fraud, aggravated identity theft, and money laundering for defrauding federal COVID-19 relief programs. The conviction was announced by United States Attorney Jacqueline C. Romero after the trial concluded with a verdict from United States District Court Judge Paul S. Diamond.
The charges stem from fraudulent applications made by Battista for loans under the Paycheck Protection Program (PPP) and Economic Injury Disaster Loan (EIDL) program between March 2020 and June 2021. These programs were designed to aid small businesses affected by the COVID-19 pandemic. Battista submitted 19 loan applications seeking over $10 million, of which nine were approved, resulting in him receiving $8.4 million.
According to the evidence presented at trial, Battista used his name for one PPP loan application while using others' identities for additional applications and supporting documents. Notably, he renewed a deceased family friend's ID to apply for a loan. The funds obtained were used for personal expenses such as purchasing property in Florida, buying a vehicle, engaging in stock trading, and paying private school fees.
Authorities have managed to seize $6.3 million through forfeiture proceedings. Battista is awaiting sentencing and faces up to 316 years in prison.
U.S. Attorney Romero emphasized the seriousness of the crime: “Frank Battista tried to cash in on a public health crisis... As his case shows, my office and our partners are committing to prosecuting these shameless COVID crooks.”
Special Agent Yury Kruty from IRS-Criminal Investigation remarked on the exploitation of relief programs: "Mr. Battista took advantage of our nation's generosity... IRS-CI will continue to aggressively investigate those who scheme."
Glenn M. Dennis of the U.S. Secret Service added: "Criminals exploiting the Paycheck Protection Program... steal valuable funds from the American taxpayer."
The investigation involved multiple agencies including the U.S. Treasury Inspector General for Tax Administration and U.S. Small Business Administration Office of Inspector General.
Battista's prosecution was handled by Assistant United States Attorneys Nancy E. Potts and Eric D. Gill.