Billions In Disaster Relief Funds Stolen; Secret Service In On The Case

The Secret Service is on the lookout for criminals who, according to the agency, are responsible for the theft of approximately $100 billion in COVID-19 disaster relief monies from the government.

As part of its ongoing investigation into financial crimes involving fraud, the FBI announced on Tuesday that it has appointed Assistant Special Agent in Charge Roy Dotson to oversee the recovery of funds lost as a result of fraud. The FBI is best known for protecting political leaders, but it is also responsible for investigating financial crimes involving fraud.

While fraud involving personal protective equipment was the primary source of worry early in the pandemic, government funds provided as part of the Coronavirus Aid, Relief, and Economic Security Act, or the CARES Act, has drawn the interest of thieves in subsequent months. According to the Secret Service, about $100 billion has been taken via the use of bogus COVID-19 relief application forms.

According to the Secret Service, investigations into unemployment insurance fraud and Small Business Administration loan fraud have already resulted in the recovery of around $2.3 billion in unlawfully acquired cash, among other things. A total of around 100 persons have been arrested as a result of these investigations on suspicion of cheating the government.

It is estimated that the Secret Service is presently conducting more than 900 criminal investigations into fraud using pandemic-related humanitarian funding, according to Dotson. This is a mix of pandemic benefits and all of the other benefit schemes, as well,” says the expert. Every state has been affected, with some being hammered more severely than others. The Secret Service is getting to work right now, attempting to recover all we can, including money that have been taken from both federal and state programs.”

According to a press release, Dotson would be in charge of investigations into cases in which unknowing victims were exploited as “money mules” to transport criminal monies across the world using bitcoin, among other things. Dotson said that the agency has witnessed a “significant increase” in the number of instances in which suspects have used electronic crime to commit fraud.

When the CARES Act was signed into law in March, it was part of a multi-billion-dollar legislative effort to revive the economy. The CARES Act is only one piece of government help that has been delivered in recent years.