June 2, 2023
Fraud Friday – SBA Employee Jailed for $11 Million Fraud
A former SBA employee, Lakeith Faulkner, admitted his guilt in an $11 million EIDL fraud scheme in December of 2022. Using his role at the SBA, he helped borrowers with the submission of fraudulent EIDL applications.
In return, he and his partner Norman Beckwood received $2.3 million in kickbacks. According to the charging documents, each application that Faulkner and Beckwood assisted with would result in them receiving a $25,000 to $55,000 fee from the applicant.
Along with a 62 month prison sentence and 5 years of supervised release, Faulkner must pay more than $10.6 million in restitution back to the SBA as punishment for one count of conspiracy to commit wire fraud.
Lakeith Faulkner’s partner, Norman Beckwood, also entered a guilty plea in January of this year. He is anticipated to be sentenced for one count of conspiracy to commit wire fraud in August.