Modern Orleans, LA – A woman has pleaded guilty to federal charges related to fraud involving funds from the Coronavirus Aid, Relief, and Economic Security (CARES) Act, and making false statements to the IRS. The case highlights ongoing efforts to prosecute individuals who exploited pandemic relief programs for personal gain.
Tanyaneeka Powell, 38, of Laplace, Louisiana, entered her guilty plea before United States District Judge Jay C. Zainey on two counts outlined in a bill of information, according to a statement from U.S. Attorney David I. Courcelle. The CARES Act, signed into law on March 27, 2020, provided critical financial assistance to minor businesses and individuals impacted by the COVID-19 pandemic, administered by the United States Small Business Administration (SBA).
The investigation revealed that Powell made false statements to obtain approximately $144,790 in Paycheck Protection Program (PPP) loan funds on behalf of a business she owned. The PPP was a key component of the CARES Act, designed to support businesses maintain payroll during the economic disruption caused by the pandemic. Following the receipt of these funds, Powell then engaged in money laundering activities, using the fraudulently obtained money to purchase a vehicle from a dealership in Kenner, Louisiana.
Details of the Sentencing
As part of her plea agreement, Powell faces three years of probation. In addition to probation, she has been sentenced to 50 hours of community service and is required to pay $153,171.95 in restitution to the Small Business Administration. A mandatory special assessment fee of $100 per count will also be levied. The sentencing was handed down by Judge Zainey on March 5, 2026.
Pandemic Fraud Task Force Investigation
The case was investigated by an agent assigned to the Pandemic Response Accountability Committee (PRAC) Fraud Task Force. The PRAC, established to oversee the federal government’s COVID-19 pandemic response, plays a crucial role in identifying and investigating fraud, waste, and abuse related to the more than $5 trillion in pandemic spending. The PRAC comprises 21 member Inspectors General working to ensure accountability in the use of public funds.
This case is part of a broader effort by the Department of Justice to combat fraud related to the CARES Act. On February 27, 2026, Marcel Gross, 51, of Slidell, Louisiana, was charged with conspiracy to commit wire fraud for fraudulently obtaining a $350,272 Paycheck Protection Program loan. According to the Department of Justice, Gross allegedly conspired to pay a co-conspirator 40 percent of the loan amount in a manner designed to avoid detection.
Another recent case involved Irvin C. Francois III of New Orleans, who was sentenced on March 5, 2026, for CARES Act fraud and money laundering. The IRS reported that Francois obtained approximately $144,790 in PPP loan funds through false statements and used the money to purchase a car.
These cases demonstrate the ongoing commitment of federal authorities to hold accountable those who sought to illegally profit from pandemic relief programs. The Department of Justice encourages anyone with information about potential fraud involving COVID-19 to report it to the National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or through the NCDF Web Complaint Form: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Disclaimer: This article provides information for general knowledge and informational purposes only, and does not constitute legal or financial advice. We see essential to consult with qualified professionals for any specific legal or financial concerns.
The continued prosecution of CARES Act fraud cases underscores the importance of vigilance and accountability in the distribution of public funds. As investigations continue, further details regarding the extent of the fraud and the individuals involved are likely to emerge. Share your thoughts on this case in the comments below.
