Seattle tech executive gets two years imprisonment in jail for $5.5M scheme to defraud COVID relief program

(Justice.gov Image)

On Tuesday, a Seattle tech executive was sentenced for trying to fraudulently get COVID-19 emergency relief loans via the Paycheck Protection Program.

Mukund Mohan, 48, of Clyde Hill, Wash., pleaded guilty to charges of wire fraud and money laundering on March 15. He was originally charged in July 2020.

The U.S. Attorney’s Office for the Western District of Washington said in a news release that Mohan submitted eight fraudulent disaster loan applications seeking over $5.5 million. These applications were supported by fake and altered documents including altered federal tax filings.

According to court documents, Mohan falsely claimed that his Mahenjo Inc. had many employees in 2019 and that he paid million dollars in payroll taxes and wages. Although he submitted fraudulent tax forms and incorporation paperwork indicating that the company was in existence prior to 2020, he purchased Mahenjo on May 2020 with no employees.

Mohan received nearly $1.8 Million in COVID-19 relief money, while five of eight fraud loan applications were granted.

Mohan has previously worked in tech, including a time at Amazon Business where he was the director of product management. Mohan was previously the director at Microsoft Ventures, and also director for engineering in Microsoft’s enterprise and cloud business.

Corinne Kalve (special agent in charge IRS Criminal Investigation) said that Mr. Mohan and others abuse the benefits programs of the CARES Act to unfairly enrich themselves. Today, Mr. Mohan will be held responsible for the damage his greed caused to our community, friends and families.

Fraud Section lawyers with the Department of Justice prosecuted over 100 criminal defendants in 70 cases. They also seized $65 Million in cash from PPP fraudulently obtained funds.

Mohan received a prison sentence of 30 years and was also ordered to pay $1,786,357 in repartition.

Publiated at Tue 24 August 2021, 19:49:04 (+0000).

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