Maryland Pastor Sentenced to 18 Months for $3.5M COVID Relief Fraud

Rudolph Brooks Jr., a pastor from Cheltenham, Maryland, was sentenced to 18 months in federal prison after being convicted of defrauding the government out of over $3.5 million in COVID-19 relief funds. Brooks, 48, used the Paycheck Protection Program (PPP), a key component of the CARES Act, to finance a lavish lifestyle, which included purchasing a fleet of luxury cars and real estate.

The case, prosecuted by the U.S. Attorney's Office for the District of Maryland, uncovered that Brooks exploited the PPP by submitting falsified loan applications between April 2020 and September 2021. He inflated the payrolls of several businesses he owned, including a car dealership and his church, the Kingdom Tabernacle of Restoration Ministries in Washington, D.C. In his fraudulent submissions, Brooks claimed to employ far more people than he did, leading to the approval of multiple large loans.

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Investigators found that Brooks used the ill-gotten funds to buy numerous luxury vehicles, including a Tesla Model 3, a Bentley, a Mercedes-Benz, and a Cadillac Escalade, among others. According to the federal complaint, he purchased at least 39 cars with the money, some of which were stored at his dealership, Cars Direct. Additionally, Brooks bought real estate and used the funds for personal expenses like groceries, retail purchases, and dining out​.

In an attempt to cover his tracks, Brooks laundered a significant portion of the funds by transferring money between accounts, including fake payroll accounts for his businesses. These actions ultimately led to his arrest and conviction on charges of wire fraud and money laundering​.

Maryland Pastor Sentenced to 18 Months for Swindling $3.5 Million in COVID-19 Relief Funds #Pastor #PPPloan #Covid #Publichealthhttps://t.co/bjXVusZOYz

— David Duman (@DavidDuman2023) September 4, 2024

The court ordered Brooks to forfeit over $2 million in assets, including properties in Maryland and the luxury cars he acquired with the fraudulent PPP loans. In addition to his 18-month prison sentence, Brooks will serve two years of supervised release​.

Brooks initially gained attention as the senior pastor of Kingdom Tabernacle of Restoration Ministries, where he was known for his engaging preaching style. However, the scandal surrounding his misuse of federal funds has overshadowed his previous reputation. His church's website, which once lauded his dedication to the ministry, was taken down following his arrest in 2021​.

The case against Brooks is part of a broader crackdown by federal authorities on pandemic-related fraud, which has been rampant since the start of COVID-19 relief programs. Brooks' sentencing highlights the government's commitment to pursuing individuals who illegally profited from the emergency funds meant to help struggling businesses survive the economic impact of the pandemic.

This case also draws attention to the broader issue of PPP fraud across the U.S., where billions of dollars intended for small business relief were misused. According to federal watchdogs, an estimated $276 billion in COVID-19 relief funds have been lost to fraud or waste.