The indictment alleges that beginning about January 2018, Osborne and eight individuals in California conspired to obtain Paycheck Protection Program, Economic Injury Disaster and pre-pandemic Small Business Administration loans for dormant companies or organizations with limited business operations.
Osborne was paid to create fake documents, including fake bank statements and fictitious tax documents to make the businesses to appear to be operating. He provided a script to participants to use in calls with lenders.
The indicated also alleges Osborne created “forgiveness plans” via which his co-conspirators transferred proceeds as purported payroll expenses that obtained the PPP funds, including one of his own companies. The plans were designed to make it appear loan recipients were meeting SBA requirement that a percentage of the PPP funds be used for payroll, increasing the chances for loan forgiveness.
The indictment charged him with conspiracy to commit wire and bank fraud, wire fraud, bank fraud, and conspiracy to commit money laundering