Texas tops the nation in CARES Act fraud

Among other offenses, the group allegedly submitted claims as though the doctor had treated patients, even when she was out of the country.

Video Transcript

KEATON FOX: It affects you in many, many ways as we track what's happening with the pandemic. As a reminder, this is money that's supposed to be for you, if you need it, for small businesses here in Houston. Just a few months ago, you might remember, seven Houston area men were charged, accused of filing some 80 fake applications for PPP loans. $16 million worth, and they spent it-- accused-- they're accused of spending it on things like a Porsche and other expensive items like cars, definitely not what that money is intended for.

As we take a look at the data that we've been analyzing, you see this giant spike in prosecutions for just this thing. Obviously, because we've had so many different SBA issues in the last year, but Texas sits atop the country of all the states. 20% of all of the fraud cases for PPP fraud coming out of Texas. Georgia not too far behind with 15, with Florida, Illinois, and California behind this.

But if you look at just these five states, they make up some 60% of all of the fraud cases across the United States. Again, this is money that is supposed to be helping folks who need it. And here in Texas, it seems to be a hotbed, at least for the cases that have been filed, for fraud across the country. We're keeping an eye on the data, and we'll you know how it shakes out. Keaton Fox, 13 Eyewitness News.