United States v. Michael Cota — U.S. District Court, N.D. Tex.

Case summary

Michael Cota entered a plea of guilty on January 31, 2024 to count one of a one-count information in the U.S. District Court for the Northern District of Texas, Fort Worth Division, No. 4:24-CR-005-Y, and was adjudged guilty of conspiracy to commit wire fraud under 18 U.S.C. § 371 and 18 U.S.C. § 1343, offense concluded May 31, 2021. His factual resume states that from about April 2020 until about May 2021 Cota and three coconspirators submitted Paycheck Protection Program loan applications containing false representations material to eligibility and to loan amounts. Sentence was imposed September 30, 2025 and signed October 1: three years of probation, a $100.00 special assessment and restitution of $1,844,410.40 to the Small Business Administration. The court ordered no fine.

Case at a glance

What was Cota sentenced to?

Three years of probation on count one. The judgment imposes no term of imprisonment and no fine, stating that Cota does not have the financial resources or future earning capacity to pay a fine or costs of incarceration in addition to restitution.

How is the restitution shared?

The full $1,844,410.40 is payable jointly and severally with James Flores, No. 4:24-CR-306-Y, and $45,617.75 of it jointly and severally with Vivian Arriaga, No. 4:24-CR-006-Y. It is paid to the U.S. District Clerk in Fort Worth for disbursement to the U.S. Small Business Administration.

What does the factual resume say?

That from about April 2020 until about May 2021 Cota agreed and conspired with others to commit wire fraud by submitting PPP applications with false representations about facts material to loan eligibility and loan amounts. It records a maximum of five years' imprisonment and a fine of up to $250,000 on the count.