Grant funding is free in much the same way that real estate ownership is a source of passive income. It does not take long to figure out that you have to work at least as hard as a landlord as you do at a job where you earn an hourly wage. Likewise, applying for grant funding requires many hours of tedious work before and after you receive any money. The reason that the grant application and compliance process is so cumbersome is that grant funds are vulnerable to fraud. If you can get money that you do not have to repay simply by asking for it in the right way, it follows that people will say anything to get the money, regardless of whether it is true. Federal entities such as the military have big budgets to provide grant funds to eligible individuals and organizations, but recipients must be truthful in their grant applications. People who knowingly make false statements on grant applications can face criminal charges for fraud and other financial crimes.
If you are facing criminal charges for making false statements on a grant application, contact a Texas white-collar crime lawyer.
Austin Woman Accused of Defrauding Army Out of More Than $100 Million
In early 2024, an Austin woman faced criminal charges for filing fraudulent grant applications that led the Army to pay her more than $100 million in grant money. The defendant is a civilian, and she worked for the Army Morale, Welfare, and Recreation program, which aims to care for the well-being of Army personnel and their families. The defendant set up a business that purported to provide support for the financially vulnerable spouses and children of service members. Between 2018 and 2023, she applied for $117,000,000 in grant funding and received just over $108,000,000. Prosecutors alleged that she used the money to buy real estate property, clothing, jewelry, and 80 vehicles.
Your Rights If You Are Suspected of Grant Fraud
It is possible to face criminal charges for fraud if your connection to an allegedly fraudulent grant application was less obvious than this defendant’s. What if you are merely an employee of the company that submitted the fraudulent application? It is the prosecution’s duty to prove that you knew that the statements you were making on the applications were false. To be acquitted, you do not have to prove that you believed that the statements were true; you simply have to show that the evidence does not clearly prove that you knew that they were false. Likewise, you might be able to argue that it is not clear whether you were the one who made the false statements. Ambiguity is your friend in criminal defense cases, especially those that involve financial crimes.
Contact the Law Office of Patrick J. McLain, PLLC About Criminal Defense Cases
A Dallas criminal defense lawyer can help you if you are facing criminal charges for fraud arising from an application for a grant. Contact the Law Office of Patrick J. McLain, PLLC, in Dallas, Texas, to discuss your case.