Former Sweetwater Commissioner Sentenced to Prison for Fraudulently Obtaining Nearly $950,000 in PPP Loans
Summary
A Southern District of Florida U.S. Attorney's Office release dated August 14, 2026: former City of Sweetwater commissioner Sophia Lacayo, 48, of Doral, was sentenced by U.S. District Judge Darrin P. Gayles to 18 months in federal prison after pleading guilty to wire fraud. According to court records, she submitted PPP applications for Lacayo Trade Group Inc., QC Tax Pro Systems LLC and QC Trade Group LLC that inflated payroll, employee counts, revenues and wages, backed by fake IRS forms, payroll records and a falsified bank statement. The companies obtained about $948,325: two $251,465 loans for QC Tax, $117,500 for QC Trade and $327,895 for Lacayo Trade. The court noted she had repaid more than $444,000 in advance restitution, which had reimbursed the lenders; a hearing on additional restitution is set for Oct. 7. The case number is 25-cr-20427.
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- Issuer
- U.S. Attorney’s Office, Southern District of Florida
- Document type
- Press release
- Date
- 2026-08-14
Cite this document
“Former Sweetwater Commissioner Sentenced to Prison for Fraudulently Obtaining Nearly $950,000 in PPP Loans.”
U.S. Attorney’s Office, Southern District of Florida, dated 2026-08-14. Archived at Pandemic Darlings, https://pandemicdarlings.com/source-documents/doj-usao-sdfl-press-release-former-sweetwater-commissioner-sentenced-p-0b508436c0/
, SHA-256 432959f4dd8b77bc2a486a34d39a9713e657d1307b5df5539ad37df991794c53.Full text
MIAMI – A former City of Sweetwater commissioner was sentenced to 18 months in federal prison for fraudulently obtaining nearly $950,000 in Paycheck Protection Program (PPP) loans by submitting falsified payroll records, fabricated tax documents, and other fraudulent submissions to lenders administering pandemic-relief funds. U.S. District Judge Darrin P. Gayles sentenced Sophia Lacayo, 48, of Doral, after she pleaded guilty to wire fraud. “Sophia Lacayo exploited an emergency program intended to keep workers employed and small businesses alive, using fabricated tax forms and false payroll records to obtain nearly $950,000,” said U.S. Attorney Jason A. Reding Quiñones. “As a former elected official, she knew the importance of public trust but chose fraud instead. This sentence holds her accountable for stealing pandemic-relief funds from American taxpayers.” According to court records, Lacayo owned Lacayo Trade Group Inc. (Lacayo Trade) and exercised significant control over QC Tax Pro Systems LLC (QC Tax) and QC Trade Group LLC (QC Trade). Lacayo submitted, and caused to be submitted, fraudulent PPP loan applications on behalf of the three companies in order to obtain pandemic-relief funds to which the companies were not entitled. The fraudulent applications falsely inflated the companies’ payroll expenses, employee counts, revenues, and wages paid. To support the applications, Lacayo submitted numerous falsified documents, including fraudulent IRS Forms, fabricated payroll records, and a falsified bank statement. As a result of the scheme, Lacayo and her companies fraudulently obtained approximately $948,325 in PPP loan proceeds, including two $251,465 loans obtained on behalf of QC Tax, a $117,500 loan obtained for QC Trade, and a $327,895 loan obtained for Lacayo Trade. At sentencing, the Court noted that Lacayo had repaid more than $444,000 in advance restitution, which had previously reimbursed the lenders for the fraudulent loans. A hearing to determine the amount of additional restitution is set for Oct. 7. U.S. Attorney Reding Quiñones; Special Agent in Charge Brett Skiles of the FBI, Miami Field Office; Special Agent in Charge Michael Townsend of the U.S. Secret Service (USSS), Miami Field Office; and Acting Special Agent in Charge Jason Xerri of the U.S. Small Business Administration Office of Inspector General (SBA OIG), Eastern Region, made the announcement. FBI Miami, USSS Miami, and SBA OIG, Investigations Division’s Eastern Region, investigated the case. Assistant U.S. Attorney Edward N. Stamm prosecuted the case. Assistant U.S. Attorney Nicole Grosnoff is handling asset forfeiture. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov , under case number 25-cr-20427. ###
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- Original
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