A Las Vegas resident, Kelly Ann Mogavero, has pleaded guilty to wire fraud charges after defrauding over $137,000 from COVID-19 relief programs. The programs targeted include the Pandemic Unemployment Assistance Program (PUA), the Paycheck Protection Program (PPP), and the Economic Injury Disaster Loan Program (EIDL). Mogavero, aged 55, is scheduled for sentencing on May 21, 2025, before United States District Judge Cristina D. Silva.
"Kelly Mogavero, a convicted felon recently released from prison, fraudulently collected unemployment insurance (UI) benefits intended for American workers who lost their jobs due to the COVID-19 pandemic," stated Quentin Heiden, Special Agent-in-Charge of the Western Region for the U.S. Department of Labor's Office of Inspector General. "Yesterday’s guilty plea highlights our strong collaboration with the United States Attorney’s Office for the District of Nevada and our law enforcement partners to ensure the integrity of the UI system and secure justice for the American taxpayer."
Court documents reveal that between June 3, 2020, and June 23, 2001, Mogavero devised a scheme to defraud state departments in Nevada and Arizona as well as the Small Business Administration (SBA). While under probation supervision, she filed fraudulent unemployment claims in both states and submitted false applications for EIDLs and a PPP loan. Her fraudulent activities included claiming ownership of non-existent companies with falsified revenue figures and tax documents.
Previously convicted in October 2016 for conspiracy to distribute methamphetamine in Nevada, Mogavero was sentenced to 46 months in custody followed by five years of supervision. She now faces up to 20 years in prison for her recent offenses.
The announcement was made by Acting United States Attorney Sue Fahami along with Spencer L. Evans from the FBI Las Vegas Division and Quentin Heiden from DOL-OIG. The investigation involved multiple agencies including the FBI and various offices within U.S. Departments overseeing labor and business administration.
The case is being prosecuted by Assistant United States Attorney Kimberly Frayn. In response to pandemic-related frauds like this one, a COVID-19 Fraud Enforcement Task Force was established on May 17, 2021. This task force aims to enhance efforts against pandemic-related criminal activities through inter-agency cooperation.
For more information about combating pandemic-related fraud or to report suspected cases, individuals can contact the Department of Justice's National Center for Disaster Fraud Hotline or visit their website.