A used car dealer from western Pennsylvania and one of his employees are both accused of filing false COVID-19 loan and benefits applications, according to reports from the Post-Gazette and TribLive.
Joshua DeWitt, 36, owner of RC Auto Sales in Connellsville, and Terrence Newmeyer Jr., 45, a salesman for DeWitt, were indicted on Tuesday by a federal jury, the reports say. The five-count indictment charges them with mail fraud and conspiracy to commit mail and bank fraud.
The two men, both of whom also live in Connellsville, are accused of filing fraudulent applications for Pandemic Unemployment Assistance benefits and Paycheck Protection Program loans, according to prosecutors, KDKA said.
Officials accuse the pair of filing the loans on behalf of the dealership’s customers, in some cases falsely telling buyers that the application was for money to buy a car from them.
When customers would get debit cards in the mail containing pandemic relief funds, they were allegedly told to bring the cards to DeWitt and Newmeyer. In some cases they had customers use them to withdraw cash, and then give the money to them.
DeWitt and Newmeyer used the money for themselves or as payment for cars, the indictment reportedly said.
They also are accused of filing weekly certifications falsely stating that the applicants were unemployed because of the pandemic. They also filed benefits claims for themselves saying they were unemployed when they were not, the news reports said.
The charges are…
