A former U.S. Agency for International Development (USAID) employee has pleaded guilty to wire fraud charges linked to a scheme that defrauded the federal government of over $176,000 through the Coronavirus Aid, Relief, and Economic Security (CARES) Act. Simeon Bakare, 55, of Waldorf, Maryland, admitted to submitting multiple fraudulent applications for Paycheck Protection Programme (PPP) and Economic Injury Disaster Loan (EIDL) funds between April 2020 and November 2021. The case is part of the Trump Administration’s Task Force to Eliminate Fraud, which targets financial misconduct during the pandemic relief efforts.
Bakare, who previously handled information technology matters at USAID, used fabricated documents to support his false loan applications. He submitted at least five fraudulent applications, including forged IRS Schedule C Forms and false attestations claiming ownership of sole proprietorships. These businesses had no real employees, office space, revenue, or operational activities, making them ineligible for the aid they were seeking.
The CARES Act, enacted in March 2020, provided emergency financial assistance to Americans affected by the economic fallout of the COVID-19 pandemic. Under its provisions, the Small Business Administration (SBA) administered the PPP and EIDL programs to help small businesses retain employees and cover essential expenses. Bakare exploited these programs by directing the fraudulent funds into bank accounts he controlled.
He admitted to using the illegally obtained money for personal expenses, including car payments, housing costs, and groceries. His actions directly violated the intent of the CARES Act, which was to support legitimate small businesses during a national crisis. The U.S. Attorney for the District of Maryland, Kelly O. Hayes, announced the guilty plea alongside Eduardo Santos, acting special agent in charge of the USAID Office of Inspector General.
The USAID OIG is a statutorily independent law enforcement agency tasked with investigating criminal activity affecting U.S. foreign assistance programs. Its jurisdiction extends to cases involving fraud against federal aid initiatives, even those administered by other agencies like the SBA. Bakare’s case highlights the risks of misuse in large-scale emergency funding programs.
He now faces a maximum sentence of 20 years in federal prison for wire fraud. His sentencing is scheduled for September 3 at 9:30 a.m. The case serves as a warning to others who may consider exploiting government relief programs for personal gain. As federal agencies continue to monitor and prosecute such fraud, transparency and accountability remain essential in ensuring public trust in emergency aid initiatives.
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