SALT LAKE CITY, Utah, April 6, 2023 (Gephardt Daily) — A federal grand jury has indicted a foreign national and northern Utah resident for allegedly scheming to steal money intended for small businesses seeking COVID-19 loans through the Economic Injury Disaster Loan program.
The indicted man is Mubarak Sulaiman Ukashat, 36, a Kaysville resident who was living in Taylorsville at the time of the alleged crime.
“As stated in the indictment, between June 2020 and July 2020, Ukashat, a former Utah State University Student Association Muslim Students Club President, submitted four fraudulent EIDL applications to the U.S. Small Business Association (SBA),” says a statement released by the Department of Justice, U.S. Attorney’s Office District of Utah.
“He used the names of four people he had no connection to and directed the proceeds to be sent to the USUSA Muslim Students Club bank account at America First Credit Union, over which Ukashat had custody and control,” the statement says.
“Ukashat then used wire transfers to move the EIDL proceeds into another America First Credit Union account, over which he had ownership and control and held jointly with a relative before spending the CARES Act funds on unauthorized personal expenses.
“In total, the former USU graduate student allegedly applied for, illegally obtained, and misused over $300,000 in EIDL funds, for his own personal expenses. Ukashat’s expenses included purchasing a $45,900 GMC Yukon in cash; paying personal expenses, including at least $27,000 to electronic retailers; $21,000 to pay off a car loan; $20,000 in apparent debt payments; $10,000 in earnest money to buy a house; $5,200 for college expenses; other cash withdrawals, wires, and miscellaneous household purchases; and the wiring of approximately $15,000 to someone in Nigeria and $20,000 to someone in Dubai.”
Ukashat is charged with four counts of wire fraud, one count of aggravated identity theft, and two counts of money laundering. The defendant is scheduled for his initial court appearance at 2:15 p.m. Friday in Courtroom 8.4 before a U.S. Magistrate Judge at the Orrin G. Hatch United States District Courthouse in Salt Lake City.
U.S. Attorney Trina A. Higgins for the District of Utah made the announcement. The case is being investigated by IRS – Criminal Investigation (CI). Assistant U.S. Attorney Todd Bouton, of the District of Utah, is prosecuting the case.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline via the NCDF Web Complaint Form.
