South Holland woman fraudulently received $440,000 in COVID aid, prosecutors say
CHICAGO (CBS) – A South Holland woman was charged with fraudulently obtaining more than $440,000 in federal pandemic aid.
Kimberly Ray-Duncan, 54, obtained the money through the Paycheck Protection Program, Economic Injury Disaster Loan Program and the Illinois Back to Business Grant Program, federal prosecutors said. She faces six counts of wire fraud, three counts of money laundering, and two counts of engaging in monetary transactions involving criminally derived property.
Prosecutors said Ray-Duncan applied for loans and grants through the programs for "numerous" companies she purportedly operated, including K Ray-Duncan Assembly Company and An AlKymAri Production LLC. But she made false statements on her applications about the companies' operations, number of employees, and revenue figures.
Some of the companies did not actually exist. She attempted to substantiate the fraudulent representations by falsely preparing IRS forms and bank statements, prosecutors said.
Ray-Duncan used the proceeds to buy a Regal 35 Sport Coupe yacht, purses by Prada, Gucci and Saint Laurent, red leather dog collars by Gucci, sunglasses by Burberry, Gucci, Giorgio Armani and Prada and scarves by MCM, Louis Vuitton, Saint Laurent, Gucci and Prada.
Each count of wire fraud and money laundering is punishable by up to 20 years in federal prison, while the maximum sentence for each monetary transaction count is 10 years.
Ray-Duncan is set to be arraigned on Thursday.