WASHINGTON, D.C. — Brothers from Palm Beach County and Miramar were charged with fraudulently obtaining millions of dollars in COVID-19 pandemic relief loans and advances from the Small Business Administration through the Economic Injury Disaster Loan program.
The federal indictment against Patrick Charles, 41, of west of Lake Worth Beach, and Carl Charles, 43, of Miramar, was unsealed Friday, according to the U.S. Department of Justice.
From March 2020 through December 2021, the brothers with their accomplices submitted applications to the SBA for nearly $5 million in EIDL loans, making false statements regarding the businesses' revenues, creation dates and number of employees, according to the indictment.
The SBA disbursed more than $2.5 million in loan proceeds and advances to the defendants and others.
Patrick Charles is charged with three counts of wire fraud and Carl Charles with four counts of wire fraud. If convicted, they face a maximum penalty of 20 years in prison on each count.
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The FBI Miami field office, U.S. Treasury Inspector General for Tax Administration and SBA-Office of Inspector General investigated the case.
The COVID-19 Fraud Enforcement Task Force was formed in May 2021.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud Hotline via the NCDF Web Complaint Form at www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.