FBI suspects Colorado accountant tied to COVID relief fraud
9Wants to Know uncovered that someone revived more than 30 defunct businesses on paper to obtain more than $2 million in PPP loans funded by taxpayers.
DENVER — Federal investigators have recovered more than $2 million in fraudulently obtained COVID-19 relief loans in the wake of a 9Wants to Know investigation that publicly exposed the scheme.
In August, 9Wants to Know revealed a longtime accountant named Gregory J. Folk was tied to more than 30 bogus and defunct businesses that were approved for $2.8 million in Paycheck Protection Program (PPP) funds.
About $2.5 million was disbursed before federal investigators caught wind of the scam and stopped the transfer of any more money.
According to court documents obtained by 9Wants to Know, the FBI identified a series of bank accounts where the loans were deposited, froze them and moved to seize the money still in them – about $2.275 million.
Roughly $225,000 remains unaccounted for. Folk allegedly moved some money before the bank froze his assets.
“A review of the accounts shows some of the funds were transferred to other accounts at Bank of…