Federal prosecutors unveiled a new pandemic-relief fraud indictment Wednesday, accusing a Los Angeles woman of seeking more than $18 million in taxpayer-backed assistance through allegedly false business and payroll records. The allegations echo separate cases in North Texas involving fraudulent loan applications, payments for personal property, and alleged kickback arrangements.
Marisela Nuno, 53, faces three counts of wire fraud and one count of money laundering after a federal grand jury in the Central District of California indicted her Tuesday, the Justice Department announced on November 4.
Prosecutors allege Nuno applied for more than $15.7 million through the Paycheck Protection Program (PPP) and more than $2.6 million through the Economic Injury Disaster Loan (EIDL) program. The DOJ announcement does not specify how much lenders ultimately disbursed, so the combined application amounts do not establish an $18.3 million loss.
Applications And Alleged Spending
Nuno allegedly used businesses and entities she claimed to own to submit loan requests containing inaccurate employee counts, payroll figures, revenue totals, and eligibility information. Prosecutors also allege she supplied false tax documents and spent loan proceeds on private property, business startup expenses, and payments to relatives.
Congress authorized the relief programs during the COVID-19 emergency to help eligible businesses cover operating expenses. The latest indictment concerns allegations that an applicant misrepresented eligibility and diverted proceeds, not a finding that the government paid every dollar she requested.
North Texas Cases Offer A Local Parallel
In a separate case that drew earlier coverage from The Dallas Express, federal prosecutors charged April Watson, 50, with fraud and money laundering involving approximately $680,492 in pandemic loans. The Northern District of Texas announced the indictment on October 26.
Authorities allege Watson used fabricated payroll records and tax forms to secure funds for businesses she operated, then transferred more than $114,000 toward construction of a personal home in Cedar Hill. Prosecutors seek forfeiture of that property. Those allegations resemble the new California case in their alleged use of false financial records and personal spending, but officials have not connected the defendants.
A different Dallas-area prosecution involves a larger network rather than one applicant. As The Dallas Express detailed in August, a federal indictment accuses Dushawn Nelson of Dallas and Irving and Latrina Dorsey of Chicago of helping generate approximately 561 PPP loans totaling $11,049,548. Prosecutors allege applicants used fictitious income statements and paid kickbacks of $2,000 to $5,000. The Justice Department described those charges on August 21.
The three cases involve distinct defendants, allegations, and claimed amounts which illustrate two recurring issues prosecutors say they encountered in pandemic lending: false financial representations and use of emergency loan proceeds for unauthorized purposes.
Charges And Legal Status
The FBI, IRS Criminal Investigation, and the Small Business Administration Office of Inspector General investigated the Nuno case. The Justice Department’s National Fraud Enforcement Division is prosecuting it as part of its federal benefits-fraud work.
A conviction could carry a statutory maximum of 20 years in prison on each wire fraud count and 10 years on the money laundering count. Those maximums do not predict an eventual sentence.
Prosecutors have not proved the allegations, and all defendants in the separate cases remain presumed innocent unless convicted.
Provided by Dallas Express
