$7.2M Covid Relief Fraud Earns FL Man 8 Years In Prison

ORLANDO, FL — A Seminole County man has been sentenced to more than eight years in federal prison for fraudulently obtaining more than $7.2 million in COVID-19 relief funds, authorities announced Thursday.

Don V. Cisternino, 47, of Chuluota, was sentenced to prison for wire fraud, aggravated identity theft and participating in an illegal monetary transaction, the U.S. Attorney's Office for the Middle District of Florida said in a release. Cisternino was also ordered to pay more than $7.4 million in restitution to the U.S. Small Business Administration.

In May 2020, authorities said Cisternino fraudulently secured more than $7.2 million in emergency funds through a Paycheck Protection Program loan. Businesses were required by federal law to use PPP loan proceeds for payroll costs, interest on mortgages, rent, and utilities during the COVID-19 pandemic.

Authorities said Cisternino's loan application falsely claimed that his business, MagnifiCo, had 441 employees and monthly payroll expenses of more than $2.8 million. According to authorities, MagnifiCo had no employees other than Cisternino.

Cisternino also submitted false W-2s for MagnifiCo's purported employees, many of which listed the names and Social Security numbers of actual people who had not authorized Cisternino to use their identities.

Once he obtained the PPP funds, Cisternino used them to purchase Maserati and Mercedes-Benz vehicles. He also bought a 12-acre estate in Seminole County, authorities said.

After learning he was under investigation for fraud, Cisternino fled to Switzerland in January 2021. He was arrested in April 2021 as he tried to enter Croatia.

In addition to his sentencing, Cisternino was ordered to forfeit more than $1.07 million seized from five different bank accounts. The court also ordered a forfeiture of $7.21 million, representing the total amount of funds fraudulently obtained by Cisternino.