GRAND RAPIDS, MI – The government is seeking forfeiture of $1.1 million after two Grand Rapids-area men allegedly set up companies to receive coronavirus relief money intended for businesses devastated by the pandemic.
The two “associates,” who have not been charged, allegedly “laundered the funds by disguising withdrawals as ‘payroll’ for friends and family members who were posing” as workers, Assistant U.S. Attorney Joel Fauson wrote in a request for forfeiture of the funds as well as a Mercedes Benz.
IRS-Criminal Investigation is investigating the case.
One of the purported businesses that received funds “had no employees, no business operations, no revenue, and no payroll in either 2019 or in the first quarter of 2020,” Fauson wrote.
One of the two men allegedly used $16,307 to pay off a