A 32-year-old Orlando man has been federally indicted after allegedly falsifying applications to obtain a large home mortgage and fraudulent COVID-19 pandemic relief funds.
Earlier this week, the U.S. Attorney’s Office for the Middle District of Florida announced that Yan Daniel Inclan Hernandez has been charged with one count of making a false statement to a financial institution and three counts of wire fraud.
If convicted on all charges, Hernandez faces a maximum penalty of 30 years in federal prison per count.
The indictment alleges that in September 2021, Hernandez made a false statement on a mortgage application by claiming a monthly income of $12,350. This misrepresentation reportedly influenced the financial institution’s decision to approve a $411,350 mortgage loan, which Hernandez then used to purchase an Orlando property.
Additionally, federal officials stated that between May 2020 and August 2021, Hernandez allegedly engaged in a wire fraud scheme to fraudulently obtain Paycheck Protection Program (PPP) loans for himself, as well as an Economic Injury Disaster Loan (EIDL) for his company, through the U.S. Small Business Administration.
During this scheme, Hernandez allegedly submitted applications that overstated his gross monthly payroll, gross monthly income, gross annual revenues, and his number of employees. These “material misstatements” successfully induced the SBA and PPP lenders to fund the fraudulent loans, according to the U.S. Attorney’s Office.
As part of the indictment, the United States is seeking an order of forfeiture against Hernandez in the amount of $157,500, which represents the proceeds of the alleged criminal conduct.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law. Every defendant is presumed innocent unless, and until, proven guilty.
This case is the result of a joint investigation by the Federal Bureau of Investigation, the Federal Housing Finance Agency, the Department of Housing and Urban Development, and the Small Business Administration’s Office of Inspector General.