A woman who previously worked for a Massachusetts housing agency has pleaded guilty to five charges of wire fraud in federal court in Boston.
Althea Jones, 51, of Brandon, Florida, is accused of defrauding the United States Small Business Administration (SBA) and the Massachusetts Department of Housing and Community Development.
According to authorities, Jones worked remotely for the DHCD for 6 months in 2022 with the Residential Aid to Families in Transition (RAFT) program, which gives funds to low-income Massachusetts individuals facing eviction or other housing difficulties.
After being fired, she was still able to access the files of four RAFT program participants and authorize electronic payments to their landlords in the amounts of $7,500, $8,800, $6,925, and $10,000, but she changed the routing and bank account numbers to her business, her account, and two friends’ accounts. After these transfers were completed, each buddy gave Jones a $2,000 kickback.
Jones also improperly applied for and received a $187,000 Paycheck Protection Program (PPP) loan from a Massachusetts lender, which the SBA eventually forgave. Jones stated on her application that she had 17 employees and an average monthly payroll expense of $74,800, yet she did not hire anyone.
Jones incurred a total loss of $222,074, with the DHCD receiving $33,225 and the SBA receiving $188,849.
Jones is set to be sentenced on January 16, 2025. She could face up to 20 years in prison for wire fraud, as well as a $250,000 fine or double the gain or loss, whichever is larger; restitution, and forfeiture.