TAMPA, Fla. — A Tampa man was sentenced to 33 months in federal prison for wire fraud and money laundering involving a $500,000 COVID-19 Small Business Loan, the Internal Revenue Service (IRS) said in a news release.
Barrett Purvis, 54, was reportedly found guilty on May 1, 2024. In addition to his sentence, Purvis was ordered by the court to pay $499,000 in restitution to the U.S. Small Business Administration, the IRS said.
Testimony and evidence presented at the trial showed Purvis applied for and received a $500,000 Economic Injury Disaster Loan from the administration during the height of the pandemic in May 2021, according to the IRS.
"Although he applied on behalf of a legitimate small business he owned and operated, Purvis never intended to use any of the loan proceeds on working capital as required by the terms of the loan agreement," the IRS stated in the release.
Instead, Purvis reportedly spent half of the proceeds on personal expenses, including gambling debt, personal debt, and debt accrued on his girlfriend's three credit cards.
Ron Loecker, Special Agent in Charge of IRS Criminal Investigation’s Tampa Field Office, stated in the release that using COVID-19 relief funds to pay for a gambling habit is "an obvious and despicable use of a well-intentioned program."
“COVID-19 relief programs were meant to serve as a lifeline to those struggling during uncertain times,” Loecker stated in the release.
After serving 33 months, Purvis will be on three years of supervised release, the IRS stated in the news release.
