Chicago, IL – A Chicago man has been sentenced to 18 months in federal prison after pleading guilty to fraudulently obtaining nearly $2 million in pandemic relief loans, authorities announced this week.
According to the U.S. Attorney’s Office for the Northern District of Illinois, 45-year-old Samuel W. Jackson engaged in a scheme involving the Paycheck Protection Program (PPP) and Economic Injury Disaster Loan (EIDL) funds under the CARES Act. Prosecutors said Jackson submitted multiple false applications to lenders and the U.S. Small Business Administration, misrepresenting employment numbers, payroll expenses, and other financial details on behalf of businesses he controlled.
Authorities said the scheme caused more than $1.9 million in losses to lenders and the SBA. Court records showed Jackson and others spent the proceeds on personal expenses, including $500,000 on luxury vehicles, nearly $230,000 at restaurants and entertainment venues, and $116,000 on rent.
Jackson pleaded guilty earlier this year to wire fraud and money laundering charges. On Aug. 20, U.S. District Judge Matthew F. Kennelly handed down the 18-month prison sentence and ordered him to pay approximately $1.9 million in restitution.
Federal prosecutors said Jackson’s conduct undermined pandemic relief efforts meant to help struggling small businesses. “Defendant abused a federal program funded by taxpayer money and designed to help those in need,” U.S. Attorneys Christopher K. Veatch and Branka Cimesa stated in a sentencing memorandum.
The investigation was conducted by the FBI’s Chicago Field Office with assistance from the SBA Office of Inspector General.
This article was produced by a journalist and may include AI-assisted input. All content is reviewed for accuracy and fairness.
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