Springfield man sentenced to over a year in prison on COVID fraud charges

Judge's gavel

A Springfield man was sentenced to over a year in prison for his role in a COVID-19 relief fraud scheme, in which he received over $40,000 in federal relief funds.

Phillip Lovelace Jr., 33, was sentenced to 20 months in prison Wednesday by federal Judge Sue E. Myerscough on wire fraud charges for fraudulently obtaining Paycheck Protection Program funds for his own personal use and fraudulently applying for unemployment from the state of Arizona.

Lovelace had been charged with six counts of wire fraud in August 2022 along with his father and four other people for their roles in the scheme, which included submitting false information to lenders in order to receive PPP funds. The initial indictment also indicated that he claimed to be employed in Arizona in order to receive that state's unemployment benefits, which he was not.

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Lovelace pled guilty to one count of wire fraud in June after reaching a plea deal with federal prosecutors. At sentencing, government officials showed that Lovelace had used the PPP funds for personal gain, such as dining, trips, and rental cars.

The 20-month sentence will be followed by two years of supervised release, with Lovelace required to pay back $48,000 in funds to the Arizona Department of Economic Security, the Small Business Administration and his lenders. He is currently serving a state prison sentence on unrelated charges; as a result, the federal sentence will be served consecutively.

Assistant U.S. Attorney Sarah Seberger led the prosecution for the U.S. Attorney's Office for the Central District of Illinois.

This article originally appeared on State Journal-Register: Springfield man sentenced for role in COVID fraud scheme