An Elizabethtown woman has been sentenced to federal prison for fraudulently submitting Coronavirus Aid, Relief, and Economic Security (CARES) Act applications, according to the U.S Attorney for the Western District of Kentucky.
Kelly Woods, 43, was sentenced in Louisville on Monday to two years and nine months in prison, said Michael A. Bennett, U.S. Attorney for the Western District of Kentucky.
According to court documents, Woods filed three fraudulent applications for Paycheck Protection Program loans between May 1, 2020, and December 31, 2021, resulting in the theft of $1,318,955.
Woods utilized the entities Philips Healthcare LLC and LB Acquisitions LLC. Woods organized LB Acquisitions LLC after the onset of the COVID-19 pandemic. She then exaggerated the number of employees and payroll expenses of those entities in the fraudulent applications, prosecutors said.
Following her release from prison, Woods was ordered to serve three years of supervised release. She was also ordered to pay $1,318,988 in restitution and a $15,000 fine.
There is no parole in the federal system.
The case was investigated by the FDIC Office of Inspector General and the FBI.
By Ken Howlett, News Director
Contact Ken at ken@k105.com
