WDNY joins DOJ Fraud Division, SBA, and SBA OIG in surge takedown exceeding $245 million in covid-era loan fraud

Press release — WDNY joins DOJ Fraud Division, SBA, and SBA OIG in surge takedown exceeding $245 million in covid-era loan fraud, dated 2026-09-15, issued by U.S. Attorney’s Office, Western District of New York.

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BUFFALO, NY--The Western District of New York today announced the sentencing of an Oklahoma woman as part of a nationwide enforcement action led by the Justice Department’s National Fraud Enforcement Division, the Small Business Administration, and the SBA Office of Inspector General targeting fraud in the SBA’s Paycheck Protection Program (PPP). WDNY was a key participant in this surge effort. From June 12 to September 1, federal prosecutors across the country facilitated fraud enforcement actions spanning over 160 criminal defendants, including approximately 80 newly charged defendants, reaching approximately $245 million dollars in intended loss to American taxpayers. “The Paycheck Protection Program was designed to act as a safety net for small businesses during the COVID-19 pandemic by helping them maintain payroll and cover essential expenses,” stated Michael DiGiacomo, U.S. Attorney for the Western District of New York. “This defendant abused the program and defrauded the American taxpayer to the tune of more than $30-million dollars. While the COVID epidemic is behind us, my office remains focused on pursuing those individuals who defraud any government program.” “Pandemic loan relief was meant to keep American small businesses alive during government lockdowns—not line the pockets of fraudsters,” said Attorney General Todd Blanche. “The defendants charged during our summer surge allegedly fabricated businesses, submitted false payroll and revenue claims, stole identities, and concealed foreign ties on their applications— but they will now be prosecuted to the fullest extent of the law.” “This summer surge shows what is possible when dedicated public servants across the country work together with a single purpose,” said Assistant Attorney General Colin M. McDonald of the National Fraud Enforcement Division. “Our mission is clear: protect taxpayer funds, safeguard the integrity of federal relief programs, and deliver justice to those who exploited them. We will remain steadfast every day—standing shoulder-to-shoulder with our partners—to identify fraud, pursue those responsible, and restore confidence in the programs meant to help American small businesses thrive.” “Today’s announcement represents the largest-ever action against perpetrators of SBA fraud, with 870,000 suspended borrowers tied to $39 billion in suspected fraudulent PPP and COVID EIDL activity. In partnership with Vice President Vance and the White House Task Force to Eliminate Fraud, we’re putting fraudsters on notice: the federal government will no longer turn a blind eye to those who stole from taxpayers and exploited programs designed to sustain small businesses during the pandemic,” said SBA Administrator Kelly Loeffler. “With demand letters going out to suspected fraudsters, we’re also sending a clear message that they must repay their debts or face Treasury collections and possible federal law enforcement. Under this Administration, the free ride is over. We are restoring accountability, recovering taxpayer dollars, and protecting SBA programs for the legitimate small businesses they were created to serve.” “Operation No Doze brings a focused and coordinated approach to pursuing fraud in SBA’s pandemic relief programs,” said SBA Inspector General William Kirk. “By concentrating our investigative resources and working closely with SBA and our law enforcement partners, we are strengthening our ability to identify fraud, recover taxpayer funds, and hold accountable those who exploited programs created to help small businesses in a time of extraordinary need. This initiative makes clear that the passage of time does not diminish our commitment to accountability.” In the WDNY, U.S. Attorney DiGiacomo announced that Amanda J. Gloria, 49, of Altus, Oklahoma, was sentenced to serve 98 months in prison for attempting to defraud the PPP Program of over $43 million in COVID-19 relief loans. Gloria admitted that she conspired to submit at least 153 fraudulent PPP applications seeking a total of approximately $43 million on behalf of at least 111 entities between approximately May 2020 and June 2021. Gloria admitted that she falsified or aided and assisted with falsifying various information on these loan applications, including the number of employees, payroll expenses and documentation, and federal tax filings. Gloria then submitted or aided and assisted with the submission of the fraudulent PPP applications to financial institutions. In total, the recipient entities unlawfully obtained approximately $31 million in PPP funds. From those fraudulently obtained funds, Gloria personally received at least approximately $1.7 million. In April 2022, Gloria pleaded guilty to one count of conspiracy to commit bank fraud and one count of engaging in monetary transactions with criminally derived proceeds. At sentencing, Gloria was ordered to pay more than $30 million in restitution and to forfeit more than $523,661. Trial Attorney Jennifer Bilinkas of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Charles Kruly for the Western District of New York prosecuted the case. The case was investigated by the FBI, under the direction of Special Agent-in-Charge Allen D. Davis, II, the Internal Revenue Service, Criminal Investigation Division, under the direction of Special Agent-in-Charge Harry Chavis, the U.S. Postal Inspection Service Boston Division, under the direction of Acting Inspector-in-Charge Justin Page, and the Social Security Administration, Office of Inspector General, under the direction of Special Agent-in-Charge Amy Connelly, Boston New York Field Division. On April 7, the Department of Justice announced the creation of the Fraud Division. The Fraud Division is laser-focused on investigating and prosecuting those who commit fraud against the American people. The Department’s work to combat fraud supports President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs. # # # #

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