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November 17, 2023

Man Sentenced to Four Months in Prison for His Role in Coronavirus Aid, Relief, and Economic Security Fraud

On October 12, 2023, in the District of Oregon, Cody Breedlove, was sentenced to four months of imprisonment, three years’ supervised release, and ordered to pay $51,006.04 in restitution, along with a $100 special assessment. Breedlove pleaded guilty to one count of wire fraud for his involvement with Coronavirus Aid, Relief, and Economic Security (CARES) Economic Injury Disaster Loan (EIDL) fraud. 

On or about June 8, 2020, Breedlove obtained an Employer Identification Number (EIN) from the Internal Revenue Service (IRS) to make a fictitious cleaning business seem like a legitimate employer. Breedlove obtained the personal identifying information of a victim, including their name and social security number, and used it in an application to the Small Business Administration (SBA) for an EIDL on behalf of the fictitious cleaning business purportedly owned by the victim.  Breedlove used the EIN on the fraudulent EIDL application, submitted on June 30, 2020. The SBA approved the EIDL and disbursed $42,900 as requested.

In total, Breedlove submitted four fraudulent EIDL applications. One application, as described above, was funded for $42,900, one application was advanced funded for $2,000, and two applications had no funds distributed.

Source: The facts in this case narrative come from the following publicly available document: D. Or. Crim. Compl., filed Feb. 9, 2022; D. Or. Indict., filed Mar. 2, 2022; and D. Or. Judgement filed Oct. 12, 2023.