Laplace woman charged with CARES Act fraud involving PPP loan

Michael M Simpson Acting United States Attorney for the Eastern District of Louisiana - Department of Justice
Michael M Simpson Acting United States Attorney for the Eastern District of Louisiana - Department of Justice
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A woman from Laplace, Louisiana, has been charged with making false statements to obtain federal pandemic relief funds. According to Acting U.S. Attorney Michael M. Simpson, Chelsey Powell, 34, was charged on December 5, 2025, by bill of information for her alleged actions related to the Coronavirus Aid, Relief, and Economic Security Act (CARES Act).

The charging documents state that Powell provided false information to the Small Business Administration in order to secure a Paycheck Protection Program loan worth approximately $19,950.

If convicted, Powell could face up to five years in prison, a fine of up to $250,000, and up to three years of supervised release. She would also be required to pay a $100 mandatory special assessment fee. Simpson emphasized: “a bill of information is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.”

The investigation was conducted by the U.S. Department of Veterans Affairs Office of Inspector General and the United States Secret Service. Assistant U.S. Attorney Edward J. Rivera from the Financial Crimes Unit is handling the prosecution.

For more details about how the Department of Justice has responded to COVID-19 fraud or to report suspected fraud related to disaster relief programs, individuals can visit https://www.justice.gov/coronavirus or submit complaints through https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.



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