Phoenix Resident Sentenced To Prison for $2.2 Million Covid-19 Fraud Scheme

A Phoenix resident, Mohammed Maio, has been sentenced to prison after pleading guilty for his role in a $2.2 Million Covid-19 fraud scheme

Maio, age 44, was sentenced to prison for Conspiracy to Commit Wire and Bank Fraud, Conspiracy to Commit Money Laundering, Bank Fraud, Felon in Possession of a Firearm, and Materially False Statement During the Acquisition of a Firearm.

According to court documents, between May 2020 and March 2024, Maio conspired to fraudulently obtain and misuse multiple Paycheck Protection Program and Economic Injury Disaster Loan relief loans. He submitted false information to secure nearly $2.2 million in loans for multiple businesses that had no employees, and the funds were used for personal enrichment, including the purchase of multiple properties, rather than legitimate business purposes.

In addition to the fraud charges, Maio, a convicted felon, arranged for his mother to purchase a firearm on his behalf in May 2021. Mohammed Maio admitted that he caused his mother to falsely state on the purchase application that the firearm was for her use, rather than his, and that he later illegally possessed the firearm she purchased.

“Maio’s actions resulted in significant financial loss to the U.S. government and exploited a program intended to provide relief to small businesses during a national crisis,” said U.S. Attorney Timothy Courchaine. “Fraud of this nature weakens the effectiveness of federal assistance programs and places an additional burden on taxpayers who ultimately bear the cost of these crimes.”

“While business owners and families were struggling during the COVID pandemic, Maio was scheming to defraud the government relief programs for personal gain,” said Scott Brown, Acting Special Agent in Charge, IRS CI Phoenix Field Office. “This case demonstrates IRS CI’s ongoing commitment to pursuing individuals who abused these pandemic relief programs and ensuring they are held accountable.”

“This significant sentence is part of a multi-agency effort to hold those who took advantage of COVID-era programs accountable,” said A.J. Gibes, Special Agent in Charge for the ATF Phoenix Field Division. “Not only did Mr. Maio commit fraud against the United States government, he illegally armed himself to protect his multi-million-dollar scheme. We are proud to work with our IRS partners to bring those who would defraud the American people to justice.”