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A federal jury made clear this week that the Paycheck Protection Program wasn’t supposed to be a personal ATM for fraudsters. On May 21, jurors in the District of Delaware found Devlon Porter and Amber Baldwin guilty for their roles in a scheme that helped produce more than $9.1 million in illegal pandemic relief loans. The U.S. Attorney’s Office and federal agents say the evidence showed sham companies, fake payroll numbers and phony tax forms used to steal taxpayer dollars meant for small businesses and workers.
Jury verdict: PPP fraud and money laundering convictions
The convictions are straightforward: Porter was found guilty of conspiracy to commit bank fraud and conspiracy to commit money laundering, while Baldwin was convicted of conspiracy to commit money laundering. Prosecutors say Porter received more than $287,000 from bogus PPP disbursements and funneled kickbacks to a tax preparer. Baldwin allegedly took in over $280,000 and paid out tens of thousands in kickbacks herself. Those figures came from evidence presented at trial and highlight how the Paycheck Protection Program can be abused when oversight fails.
The bigger picture: a wide fraud network
These two weren’t lone wolves. Investigators say the fraud tied back to a Wilmington tax preparer who earlier pleaded guilty after preparing dozens of fraudulent PPP applications that funneled millions to shell companies. Federal enforcement from the DOJ, the FBI and IRS Criminal Investigation has now swept up multiple co‑conspirators in the same ring. That prior prosecution and the new jury verdicts show this wasn’t small-time theft — it was organized abuse of federal pandemic relief designed for real employers and workers.
Why Americans should care — and what should change
Every dollar stolen from PPP or other COVID relief programs is a dollar not helping a payroll, a rent bill, or a local shop trying to stay afloat. Conservatives can and should cheer the prosecutions — holding criminals accountable protects taxpayers and honest businesses. But we should also ask why banks and administrators didn’t catch these fake applications sooner. Better verification, stronger audits, and swifter prosecutions would stop these schemes before money leaves the vault. If the government wants to spend trillions in emergencies, it must defend those programs from theft.
The convictions carry heavy statutory maximums — up to 30 years for bank‑fraud conspiracy and up to 20 years for money‑laundering counts — though actual sentences usually fall short of the maximum. Still, the verdicts send a clear message: fraud against pandemic relief programs will be pursued and punished. Good. Now let’s get the rest of the ring, tighten oversight, and make sure taxpayer money goes where it belongs — not into the pockets of con artists who think crisis equals free money.
