Sparta man charged with fraud, money laundering

A Sparta resident was charged with one count of wire fraud and one count of money laundering in connection with federal funds meant to help businesses hurt by the coronavirus pandemic.

Nikenson Jean Mathurin, 44, who also is known as Nik Mathurin and Jean Mathurin, was scheduled to appear Tuesday, Dec. 19 before U.S. Magistrate Judge Jessica Allen in Newark federal court.

He was accused of fraudulently obtaining Paycheck Protection Program (PPP) funds and Economic Injury Disaster Loans (EIDL) totaling more than $2 million, U.S. Attorney Philip Sellinger said.

According to documents filed in the case and statements made in court, from April 2020 through November 2021, Mathurin participated in a scheme to fraudulently receive more $2 million in COVID-19 emergency relief loans meant for distressed small businesses under the PPP and EIDL programs.

He was accused of submitting several fraudulent PPP and EIDL applications on behalf of five purported business - Innovation Partners Plus, Opulence Motor Group, OMG Collision Corp. (doing business as Corsa Volante), Tricon Systems LTC and America Home Care - to four lenders.

In support of the applications, he allegedly provided to lenders false and fraudulent documents and information, including fabricated tax documents, payroll documents and number of employees.

Mathurin also was accused of using the proceeds to send money between his various bank accounts, buy restaurant equipment unrelated to any of the businesses, pay for travel expenses, and transfer money to an account at an online vehicle auction company, which was used to buy luxury cars, motorcycles and motorcycle parts.

The wire fraud charge carries a maximum penalty of 20 years in prison, and the money laundering charge carries a maximum penalty of 10 years in prison. Each charge also carries a maximum fine of $250,000, or twice the gross gain to the defendant or gross loss to the victim, whichever is greatest.

Sellinger credited the investigation leading to the charges to.special agents of the Northeast Region of the Federal Housing Finance Agency, Office of Inspector General, under the direction of Special Agent in Charge Robert Manchak, and special agents of IRS-Criminal Investigation, under the direction of Special Agent in Charge Tammy Tomlins.

The District of New Jersey COVID-19 Fraud Enforcement Strike Force is one of five strike forces established throughout the United States by the Justice Department to investigate and prosecute COVID-19 fraud.

Anyone with information about allegations of attempted fraud involving COVID-19 may report it by calling the Department of Justice’s National Center for Disaster Fraud Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form