Woman sentenced to prison for false COVID-19 loan applications
WILMINGTON, N.C. (WNCT) — On Tuesday, Apr. 22, 2025, a woman in Wake Forest was sentenced to six months in prison as well as a year of home confinement for falsely filing for COVID-19 Paycheck Protection Program loans.
Sonya Lenise Davis, 57, pled guilty to planning to commit wire fraud on August 7, 2024.
Court documents say that Davis and others lied on applications to the Small Business Association for Paycheck Protection Program (PPP) loans. These loans were a form of Covid-19 relief funding to help small businesses during the pandemic. Davis did not qualify for these loans, but lied, and lied for others, to steal money from the program. On her loan application, Davis falsified information about her company, Sonya's Braiding, by increasing the number of employees and income. She also helped others to acquire and submit fake documents to boost wage claims on their own PPP loans using fake IRS forms. Davis also helped others get fake bank statements. As a result, Davis and others illegally secured more than $85,000 in Covid relief loan money.
Daniel P. Bubar, Acting U.S. Attorney for the Eastern District of North Carolina, made the announcement after sentencing by Chief U.S. District Judge Richard E. Myers II. The Internal Revenue Service (IRS) investigated the case and Assistant U.S. Attorney William Gilmore and Special Assistant U.S. Attorney Lisa Labresh prosecuted the case.
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