PGC Woman Arrested For Defrauding U.S. Government With Fictitious Business: Prosecutor

PRINCE GEORGE'S COUNTY, MD — A 35-year-old Greenbelt woman has been arrested and charged with defrauding the U.S. government of nearly $150,000 in Economic Injury Disaster Loan funds that were meant to provide relief to businesses suffering economic hardship as a result of the COVID-19 pandemic.

Lori Isabell Morgan, 35, was arrested on an indictment that includes charges of six counts of wire fraud. According to court documents, Morgan submitted an EIDL application to the Small Business Administration in which she claimed to own 100% of an agriculture business that was based out of her Washington, D.C., apartment. Morgan claimed to employ 10 people and to have generated $7.5 million in gross revenues in 2019. Officials determined there was no such business, according to court documents.

On July 8, 2020, the SBA deposited $149,900 in Morgan’s bank account. Morgan used the money to pay off her debts, pay for auto repairs, restaurant tabs, shopping purchases and trips to Atlantic City and Las Vegas, officials said. By December 31, 2020, Morgan’s account balance was down to $829, court documents noted.