A federal grand jury in Chicago has indicted five individuals for allegedly obtaining millions of dollars through fraudulent applications for small business loans and other benefits under the Coronavirus Aid, Relief, and Economic Security (CARES) Act.
According to an indictment unsealed this week in the Northern District of Illinois, George Kavroulakis, Athanasios Intzes, Adam Jaber, Hassan Kurdi, and Abdallah Issa are accused of fraud related to the Paycheck Protection Program (PPP), Economic Injury Disaster Loan program (EIDL), and Pandemic Unemployment Assistance program (PUA). The charges include multiple counts of wire fraud: Kavroulakis faces nine counts; Intzes, five; Jaber, nine; Kurdi, four; and Issa, four. Each count carries a maximum sentence of 20 years in federal prison.
The defendants have pleaded not guilty. A status hearing is set for August 14, 2025 before U.S. District Judge Lindsay C. Jenkins.
The indictment alleges that during 2020 and 2021 the defendants submitted numerous fraudulent applications on behalf of themselves and others to obtain PPP loans and EIDL funds from lenders and the U.S. Small Business Administration. These applications reportedly included false information about company size, revenue, payroll amounts, and expenses.
Additionally, Kavroulakis, Jaber, and Intzes are accused of causing approximately $750,000 in fraudulent PUA benefits to be disbursed in Illinois and California by submitting false statements about unemployment status.
Prosecutors state that much of the money obtained was used for personal benefit—including purchases such as Mercedes-Benz vehicles and a Rolex Submariner watch.
Andrew S. Boutros, United States Attorney for the Northern District of Illinois; Douglas S. DePodesta of the FBI’s Chicago Field Office; Robert Collins from the Small Business Administration’s Office of Inspector General; and Megan Howell from the Department of Labor’s Office of Inspector General announced the indictment. Assistant U.S. Attorneys Edward A. Liva Jr. and Beth E. Palmer represent the government in this case.
“The public is reminded that an indictment contains only charges and is not evidence of guilt,” officials stated in their announcement. “The defendants are presumed innocent until proven guilty beyond a reasonable doubt.”
Anyone with information regarding attempted Covid-19 fraud can report it via phone or online through resources provided by the Department of Justice at https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
