Victor Kensington Colbert, Jr., 60, who operated the Oklahoma Heartland Heroes Foundation in Bixby, has been indicted on two counts of bank fraud. The indictment alleges that Colbert submitted at least five applications for CARES Act funds on behalf of the nonprofit. The CARES Act, enacted in March 2020, created programs like the Paycheck Protection Program (PPP) to help small businesses during the COVID-19 pandemic.
According to the indictment, Colbert obtained at least two PPP loans and one Economic Injury Disaster Loan advance totaling about $217,000 for Heartland Heroes. He is accused of submitting false documentation indicating that he had several employees with monthly payroll expenses over $55,000. The documents also stated that any funds received would be used for retaining workers, maintaining payroll, paying mortgage interest or lease payments, utility bills, and other covered costs.
The Office of the Inspector General for the Federal Reserve System is conducting the investigation. Assistant U.S. Attorney Thomas Buscemi is prosecuting the case.
“An indictment is merely an allegation. The defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.”
The Fraud Section oversees prosecutions related to schemes targeting the PPP. Since the CARES Act began, more than 150 defendants have been prosecuted in over 95 criminal cases involving fraudulent PPP claims. Authorities have seized over $75 million in cash and assets acquired through such schemes. More details are available at Justice.gov/OPA/pr/justice-department-takes-action-against-covid-19-fraud.
