A Newport News woman has pleaded guilty in federal court to laundering proceeds of a pandemic-benefit fraud scheme.
NEWPORT NEWS, Va. — A Newport News woman pleaded guilty Monday to laundering proceeds of a pandemic-benefit fraud scheme, according to a press release from the U.S. Attorney’s Office for the Eastern District of Virginia.
According to court documents, on March 17, 2021, Shenita R. Banks, 50, applied for a loan for her company, Wireless Queen, Inc., through the Paycheck Protection Program, a COVID-19 relief program intended to provide loans backed by the Small Business Administration to certain businesses, nonprofit organizations, and other entities to help them retain their employees or stay afloat during the pandemic. Banks incorporated Wireless Queen, Inc., on July 27, 2015, but it had no business operations, employees, or sales in 2020.
In her application, Banks fraudulently claimed that the purpose of the loan was for payroll costs, …