Criminal Information — U.S. v. Oudomsine

Record facts

U.S. District Court, S.D. Ga., Dublin Division · No. 3:21-cr-00013-DHB-BKE · Doc. 1 · 2021-10-19 · Docket on CourtListener

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Case 3:21-cr-00013-DHB-BKE Document1 Filed 10/19/21 Page1of5

UNITED STATES DISTRICT COURT
SOUTHERN DISTRICT OF GEORGIA

DUBLIN DIVISION aa ul (4 Pk 2
UNITED STATES OF AMERICA _) M : (WoW
) INFORMATION NO. . :
v. )
) 18 U.S.C. § 1343
VINATH OUDOMSINE ) Wire Fraud

THE UNITED STATES ATTORNEY CHARGES THAT:

At all times material to this Information: C ie 3 2 | = 0 1 3

Background

1. The Coronavirus Aid, Relief, and Economic Security (“CARES”) Act was
a federal law enacted in or about March 2020 designed to provide emergency financial
assistance to the millions who are suffering the economic effects caused by the
COVID-19 pandemic.

2. Among other relief efforts, the United States sought to provide financial
support to eligible businesses that could be used to offset certain business expenses.

3, Defendant VINATH OUDOMSINE, who resided in the Dublin Division
within the Southern District of Georgia, fraudulently sought and received relief funds
by making false and fraudulent representations to the Small Business
Administration (“SBA”).

4. The SBA was an executive branch agency of the United States
government that provided support to entrepreneurs and small businesses. The SBA
was headquartered in Washington, DC and maintained its computer servers outside

of the State of Georgia. The SBA’s mission was to maintain and strengthen the
Case 3:21-cr-00013-DHB-BKE Document1 Filed 10/19/21 Page 2of5

nation’s economy by enabling the establishment and viability of small businesses and
by assisting in the economic recovery of communities after disasters.

5. As part of this effort, the SBA enabled and provided for loans through
banks, credit unions, and other lenders. These loans have government-backed
guarantees. In addition, the SBA provided loans that came directly from the U.S.
Government.

6. One source of relief provided by the CARES Act was the authorization
for the SBA to provide Economic Injury Disaster Loans (“EIDL’) to eligible small
businesses experiencing substantial financial disruption due to the COVID-19
pandemic.

7. In order to obtain an EIDL, a qualifying business had to submit an
online application to the SBA and provide information about its operations, such as
the number of employees, gross revenues for the twelve-month period preceding the
disaster, and the cost of goods the business sold in the twelve-month period preceding
the disaster. In the case of EIDLs, the twelve-month period was that preceding
January 31, 2020. The applicant also had to certify that all the information in its
application was true and correct to the best of the applicant’s knowledge.

8. EIDL applications were submitted directly to the SBA online at
https://covid19relief.sba.gov/#/ and processed by the agency with support from a
government contractor, Rapid Finance. The amount of each loan was determined

based, in part, on the information provided by the application about employment,
Case 3:21-cr-00013-DHB-BKE Document1 Filed 10/19/21 Page 3 of 5

revenue, and cost of goods, as described above. Any funds issued under an EIDL were
issued directly by the SBA.
9, EIDL funds could be used for payroll expenses, sick leave, production
costs, and business obligations, such as debts, rent, and mortgage payments.
COUNT ONE

Wire Fraud
18 U.S.C. § 13848

10. The allegations of paragraphs 1 through 9 of this Information are hereby
realleged and incorporated as if fully set forth herein.
11. From on or around July 14, 2020, and continuing until on or around
January 8, 2021, in the Southern District of Georgia, the defendant,
VINATH OUDOMSINE
did knowingly devise and intend to devise a scheme and artifice to defraud, and to
obtain money and property, by means of materially false and fraudulent pretenses,
representations, and promises, and for the purpose of executing the scheme and
artifice and to obtain money and property, caused interstate communications to be
made over the Internet, in furtherance of the scheme and artifice to defraud, in
violation of Title 18, United States Code, Section 1343.
The Object of the Scheme
12. It was part of the scheme that Oudomsine unjustly enriched himself by
obtaining EIDL proceeds under false and misleading pretenses including by making
false statements about the number of individuals his company employed and his

company’s gross revenue.
Case 3:21-cr-00013-DHB-BKE Document1 Filed 10/19/21 Page 4of5

Manner and Means

13. It was further part of the scheme that Oudomsine submitted, or caused
to be submitted, an SBA loan application on July 14, 2020 at
https://covid19relief.sba.gov/#/ for a sole proprietorship owned by Oudomsine that
had purportedly been in existence since 2018, that had ten employees, and that had
twelve-month gross revenues of $235,000. This loan application was submitted for
the purpose of executing the scheme and artifice described herein, and attempting to
do so, caused the be transmitted by means of wire communication from the Southern
District of Georgia to a location outside the state of Georgia signals and sounds
constituting an online submission of an EIDL application ending in 4221 on behalf of
a business run by Vinath Oudomsine.

14. On or about August 4, 2020, in reliance on Oudomsine’s false
representations in his EIDL application, the SBA deposited $85,000 into a bank
account in Oudomsine’s name at Bank 1.

15. In furtherance of the scheme and artifice, on or about January 8, 2021,
Oudomsine used the funds obtained from SBA by means of false and fraudulent
representation to purchase a Pokémon card for $57,789.

All done in violation of Title 18, United States Code, Section 1343.

(signatures on following page)
sti ——~€ase 3:21-cr-00013-DHB-BKE Document1 Filed 10/19/21 Page 5of5

iO ge- fa

Karl I. Knoche ~ Jonathan_A-Porter /
Assistant United States Attorney Assistant United States Attorney
Chief, Criminal Division *Lead Counsel

La

Patrick J. Schwedler
Assistant United States Attorney
*Co-lead Counsel

or

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