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The St. Louis native appeared in court on Wednesday (May 24) where she pleaded guilty to five counts of misuse of a Social Security number, four counts of bank fraud, three counts of making false statements to the IRS, and three counts of wire fraud.
According to the Associated Press, U.S. Attorney Sayler A. Fleming explained in a statement that the crimes “victimized taxpayers, banks, credit card companies, individuals, and programs that were intended to help struggling businesses and employees during the COVID-19 pandemic.”
The St. Louis Post-Dispatch reported the 33-year-old was indicted on federal fraud charges in September 2021 and initially pleaded not guilty.
According to AP, the reality star admitted to using false Social Security numbers to defraud banks and credit card companies, illegally obtaining loans for businesses struggling through the pandemic, and submitting fake medical bills to an insurance company. The total loss from her crimes reaches nearly $450,000.
NBC News reported as much as $80 billion of the $800 billion set for the Covid relief plan known as the Paycheck Protection Program (PPP) was stolen under false pretenses by scammers who used the funds to purchase luxury cars, tropical vacations, and more.
“Nothing like this has ever happened before,” explained Matthew Schneider, a former U.S. attorney from Michigan who is now with Honigman LLP to the news outlet. “It is the biggest fraud in a generation.”
Williams’ sentencing is scheduled for Aug. 23. According to Fleming, federal prosecutors seek reimbursement for the victims.
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