Ex-officer sentenced in pandemic relief fund scheme in plot with Michigan residents

A former Georgia police officer Andre Jackson has been sentenced to 59 months in prison for his part in a plot with Michigan residents to launder $500,000 in fraudulently obtained COVID-19 relief funds, federal officials announced Thursday.

During sentencing in the U.S. District Court for the Western District of Michigan in Grand Rapids, Judge Jane Beckering noted Andre Jackson’s behavior was "greedy" and "concerning," the U.S. Attorney's Office said in a statement.

“Andre Jackson was a con artist who tried to exploit the COVID-19 pandemic for his own personal gain,” said U.S. Attorney Mark Totten. “Anyone who tries to get rich quick by stealing money intended to help those in need should expect to be held fully accountable.”

Jackson, who also faces three years of supervised release, was the fifth defendant sentenced in the case, court records show.

In December, Jemar Mason of Grand Rapids was sentenced to 87 months. Beckering ordered him to spend six years on supervised release after his confinement and pay almost $1.5 million in restitution.

Authorities found that in 2020, Jackson introduced Georgia resident James Williams to Mason and another Michigan man, David Kurbanov.

Williams then helped Mason and Kurbanov prepare bogus applications for Paycheck Protection Program loans authorized by the Coronavirus Aid, Relief, and Economic Security, or CARES Act, officials said Thursday.

"Jackson and his co-conspirators exploited the program to obtain approximately $1.495 million in fraud proceeds," according to the release. "Afterwards, Jackson attempted to launder some of the proceeds by directing two of his confederates to wire $500,000 to an overseas bank account that Jackson selected."

Investigators from the Drug Enforcement Administration detected the plot and the Internal Revenue Service froze the bank accounts, recovering approximately $1.123 million.

“Pandemic relief funds in the form of PPP loans were established to help legitimate businesses weather the economic crisis created by COVID-19.” said Charles Miller, Acting Special Agent in Charge of IRS Criminal Investigation, Detroit Field Office. “In concert with the U.S. Attorney’s Office and our federal law enforcement partners, IRS-CI will continue to track down individuals who attempt to exploit this federal relief program for their own personal greed and hold them accountable for their crimes.”

Jackson, 57, worked as an officer in Clayton County, Georgia, until he was charged, court records show.

He pleaded guilty in October to attempting to engage in a monetary transaction in property derived from specified unlawful activity as well as aiding and abetting.

In a sentencing memorandum filed this month, his attorney, Lucas Dillon, noted that Jackson, an Army veteran diagnosed with post-traumatic stress disorder and other issues, had already been incarcerated for nearly two years.

"Mr. Jackson does not diminish the seriousness of the charged offense, and clearly has demonstrated that he accepts responsibility for his actions. Mr. Jackson has expressed ... that he takes full responsibility and accountability for his actions," Dillon wrote. "Furthermore, Mr. Jackson regretted his actions that landed him in front of this Honorable Court. Mr. Jackson maintains that his involvement in this conspiracy was minimal."

Others have faced charges related to pandemic aid theft or fraud in Michigan.

This month, a Commerce Township man was charged in connection with applying for nearly $1 million worth of pandemic loans for fake businesses.

A Detroit man also was sentenced to eight years in federal prison in connection with schemes to seize more than $2.2 million in COVID-19 pandemic aid and defraud the United States Postal Service of more than $200,000.

Last year, a former Michigan unemployment insurance examiner and three others were indicted by a federal grand jury in connection with an alleged scheme to steal more than $1 million in benefits.

A state audit has found the Unemployment Insurance Agency lost more than $8.5 billion to suspected fraudulent payments amid record claims and persistent attempts at fraud.

Since 2020, the Secret Service has initiated more than 3,850 pandemic-related fraud investigation and seized more than $1.4 billion in fraudulently obtained funds.