Mukund Mohan, 48, of Clyde Hill has been charged with fraudulently seeking over $5.5 million in Paycheck Protection Program (PPP) loans and laundering the proceeds. Clyde Hill is bordered by Kirkland, Bellevue, Medina, Yarrow Bay and Hunts Point.
Acting Assistant Attorney General Brian C. Rabbitt of the Justice Department’s Criminal Division and U.S. Attorney Brian T. Moran of the U.S. Attorney’s Office for the Western District of Washington, made the announcement in a July 23 press release.
Mohan was charged by criminal complaint with one count of wire fraud and one count of money laundering.
According to Emily Langlie, public affairs officer of the Seattle branch of the USDOJ, the complaint alleges that Mohan submitted at least eight fraudulent PPP loan applications on behalf of six different companies to federally insured financial institutions.
Mohan is said to have made numerous false and misleading statements about the companies’ respective business operations and payroll expenses, submitted fake and altered documents, including fake federal tax filings and altered incorporation documents.
The complaint also alleges Mohan told a lender in 2019 his company Mahenjo Inc., had dozens of employees and paid millions of dollars in wages and payroll taxes. In support of the loan application, Mohan submitted documents showing he incorporated the company in 2018 and filed federal unemployment tax forms in 2019. But the investigation revealed he purchased Mahenjo on the internet in May of this year and it had no employees and no business activity.
The complaint further alleges that Mohan transferred at least $231,000 in fraudulently-obtained loan proceeds to his personal brokerage account for his personal benefit.
A criminal complaint, Langlie said, is merely an allegation and that defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
The case against Mohan was investigated by the Federal Housing Finance Agency – Office of Inspector General, IRS-Criminal Investigation, the U.S. Treasury Inspector General for Tax Administration, and the Federal Deposit Insurance Corporation – Office of Inspector General.
Trial Attorney Christopher Fenton of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Andrew Friedman of the Western District of Washington are prosecuting the case.
Langlie asks that anyone with information about allegations of attempted fraud involving COVID-19 report it by calling the Department of Justice’s National Center for Disaster Fraud Hotline at 866-720-5721 or via the NCDF Web Complaint Form at www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.