COVID-19 fraud conviction lands former Charlotte councilwoman in prison

Telling a former Democratic Charlotte councilwoman the public “is tired of being ripped off,” a federal judge rejected a more lenient plea agreement and sent the defendant to prison for 10 months.Tiawana Brown, on the City Council for a two-year term ending with a primary loss in 2025, pleaded guilty in February to fraud charges tied to $146,665 in COVID-19 relief funds. Daughters Tijema Brown, 32, and Antionette Rouse, 34, were each involved but avoided time behind bars.
In the U.S. District Court for the Western District of North Carolina, Judge Kenneth Bell told the trio, “These programs are set up at a time of great desperation for a lot of people. The public is tired of being ripped off.”
Tiawana Brown, a 55-year-old woman previously in prison for four years via fraud charges decades ago, and her daughters owe the Small Business Administration $137,280.09 in restitution. The daughters agreed to forfeit $51,666 in fraud proceeds, and the mother $22,500. Tiawana Brown has paid nearly $21,000 of the restitution thus far.
Bell further chastised the mother for telling Charlotteans the prosecution was politically motivated knowing that it was not, and for bringing her daughters into the scheme.
Tiawana Brown, prosecutors said, used about $15,000 obtained through fraudulent pandemic relief loan applications for her personal birthday party upon turning 50. At least 13 applications with false or fraudulent information were submitted to the Economic Injury Disaster Loan program and the Paycheck Protection Program under the guise of businesses.
The scheme was hatched immediately in the pandemic era. Prosecutors say the applications went in between April 2020 and September 2021. The CARES Act, containing both programs, was signed on March 27, 2020. The EIDL program launched on March 30, and the PPP program on April 3.
Matthew Warren, from the U.S. Attorney’s Office in Charlotte, prosecuted the case and took a scolding from Bell as well. The judge said prosecutors were manipulating the guidelines to keep probation possible in a plea agreement with a lighter sentence that was ultimately declined.
Brown made history in 2023, becoming the first felon elected to Charlotte City Council. She defeated Republican James Bowers 78.5%-21.2%.

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