Nik Patel’s Wife Accused of $7 Million Fraud Scheme – Fraud Friday
March 22, 2024
Delaney Sexton
Contributing Editor
Nik Patel’s Wife Accused of $7 Million Fraud Scheme – Fraud Friday
This new scheme bears a resemblance to Nik Patel’s previous fraud schemes. Both involved creating fictitious loans and “used the guise” of USDA guarantees to sell the guaranteed portion. The current fraud scheme created a fictitious lender and a fictitious loan officer. He is still waiting to be sentenced for a scheme that used fake loans to obtain real guarantees from the USDA and “used a fake identity representing a banker with a legitimate bank to further the scheme.”
The government is alleging that in 2021, Trisha Patel defrauded the Department of Agriculture and a Tennessee financial company. Further, more than $100,000 is believed to have been donated to political groups in Louisiana. She specifically donated to political action committees which have greater donation limits than individuals or businesses, according to accusations.
The feds also allege that Trisha was working with her husband, Nikesh Patel, who is serving 25 years in prison for a $179 million fraud scheme. The criminal complaint against Trish was filed in December 2023 while Nik was serving his sentence and was waiting to be sentenced for another fraud scheme related to almost $20 million in fraud. There was a prison search just months before where they found 3,000 pages of documents connected to a fraudulent loan under Nik’s mattress. The criminal complaint also revealed that Nik’s jail email communications show evidence that Nik and Trisha conspired to commit the fraud scheme.
The scheme they are being accused of involved creating a fake lender to make a loan worth more than $8.5 million to Precision Powered Products. This company was going to expand its operations to Puerto Rico allegedly. The Department of Agriculture then secured 80% of the loan. The loan was then sold to Hanover Securities to make a profit, earning them millions of dollars more.
Trisha Patel went on to give $2.1 million to an attorney, buy $500,000 in cryptocurrency, give $200,000 to her children’s private schools, buy a new BMW worth $81,000, and spend $91,000 on rent according to the accusations. Her spending did not end there, because the complaint alleges that she used $1.2 million to pay attorneys, lobbyists, and consultants on Nik’s behalf. What was left of the money went to a business entity associated with the Patels.
In June 2022, two political action committees were filed under the same name, Build USA PAC. One was a federal PAC while the other was a state PAC. The assets of the committees were held at First Guaranty Bank. Just a week later, Trisha Patel opened a new account at First Guaranty Bank for Precision Powered Products. Campaign finance documents reveal that nearly all the funds they received came from the Patel family or business associates except for a $5,000 donation from Precision Powered Products.
Sources:
Gambit Article
Criminal Complaint
Read our previous reporting here
Fraud Friday — Nik Patel’s Partner Gets 10 Years in Jail, 5/4/18
Fraud Friday — How Not to Get Ripped Off in a Patel-Like Fraud, 3/30/18
Fraud Friday — Whatever Happened to Nik Patel’s COO & Movie Partner?, 1/12/18
Special Fraud Friday Tuesday Edition — Nik Patel Arresting Fleeing US in Chartered Jet, 1/09/18
Fraud Friday — Nik Patel Pleads Guilty to $179 Million USDA B&I Loan Fraud, 12/16/17
Fraud Friday — Nik Patel Indicted on 5 Counts of Fraud, 12/11/15
Fraud Friday — Nik Patel’s Partner Sued for $4.5 Million from USDA B&I Loan Fraud, 10/23/15
Fraud Friday — Five Nik Patel hotel properties are being sold by auction.com in July, 5/15/15
Fraud Friday — First Farmers’ Nik Patel’s Assets Frozen, 10/10/14