A federal jury found Dr. Reginald Eburuche of Southfield guilty of bank fraud, as announced by United States Attorney Jerome F. Gorgon Jr. last month.
Gorgon made the announcement alongside Special Agent in Charge Cheyvoryea Gibson from the Federal Bureau of Investigation’s Detroit Division.
Dr. Eburuche has been convicted of deceitfully securing a Paycheck Protection Program (PPP) loan in July 2020, during the Covid-19 pandemic, intended for his start-up company Renovis Healthcare. Evidence revealed during the trial indicated that following a failed attempt to secure a line of credit for his new business in 2019, Eburuche sought out the PPP program as a possible source of initial funding—$1.7M at a 1% interest rate.
To secure the funds, he significantly exaggerated both the employee count and the average monthly payroll of his nascent business. To bolster his application, he fabricated and submitted fake tax documents, designed to give the impression that his reported employee count and salary expenses were authentic. A significant amount of the funds was frozen and confiscated prior to the trial.
“When a licensed professional choses fraud over integrity, the harm runs deeper than dollars,” said U.S. Attorney Gorgon. “Dr. Eburuche stole money meant to keep workers afloat during a time of crisis. This Office will continue to pursue those who exploited these programs for personal gain.”
“Dr. Reginald Eburuche’s conviction for Bank Fraud represents not only an abuse of taxpayer dollars but a betrayal of public trust during a time of national hardship,” said Cheyvoryea Gibson, Special Agent in Charge of the FBI Detroit Field Office.
“I commend the dedicated efforts of our Oakland County Resident Agency members and the U.S. Attorney’s Office for the Eastern District of Michigan, whose contributions were vital in concluding this case. We remain fully committed to collaborating with our community and law enforcement allies to identify, investigate, and bring to justice those who exploit government relief programs for personal financial gain, ” he also added.
The prosecution of this case was led by Assistant United States Attorney Carl Gilmer-Hill, with the investigation carried out by special agents from the Federal Bureau of Investigation. The United States Attorney’s Office expresses gratitude to the Small Business Administration and the Treasury Inspector General for Tax Administration for their assistance.
