TikTok Influencer Uses Bitcoin to Launder Fraudulent COVID Relief Funds - Here’s What Happened
Denish Sahadevan, a 31-year-old social media influencer, has pleaded guilty to a series of criminal charges related to money laundering using cryptocurrency.
The US prosecutors have alleged that Sahadevan fraudulently obtained more than $1.2 million in government relief loans.
On May 31, the US Department of Justice (DoJ) issued a press release stating that Denish Sahadevan, a TikTok influencer, has admitted to committing several criminal offenses.
These offenses include wire fraud, aggravated identity theft, and money laundering.
According to the prosecutors, an extended search on the accused Potomac’s property led to the discovery of his fraudulent activities after three years of operation.
Sahadevan, better known as Danny Devan on social media platforms, was said to have defrauded lenders and Small Business Administration (SBA) of more than $1.2 million in Paycheck Protection Program (PPP) and Economic Injury Disaster Loans (EIDL) during a three-year criminal stint.
The DoJ said that Sahadevan began his criminal activities in March 2020 after he submitted EIDL and PPP applications for four Maryland businesses he controlled.
To do this, he attached fraudulent and fabricated documents such as tax forms and bank statements.
Racking up his criminal resume even further, Sahadevan also illegally obtained the identity information of a tax preparer without their knowledge.
For his efforts, Sahadevan successfully obtained $146,000 in PPP benefits after previously applying for 71 such loans, which would have amounted to $941,000 if they had been granted.
He then applied for another set of eight EIDL loans totaling $283,900, wherein he deceived his father into being a co-signer.
He also forged his father’s signature on the loan
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