South Jersey Man Created Fake Employees, Illegally Obtained COVID Funds: Feds

CAMDEN, NJ — A Berlin Township man pleaded guilty Tuesday to one count of bank fraud conspiracy, one count of wire fraud and one count of being a felon in possession of a firearm, U.S. Attorney Philip R. Sellinger announced.

Stephen Bennett, 46, had conspired with Rhonda Thomas in 2020to submit applications for COVID-19 financial relief using fictitious employees, revenue and payroll information, according to officials.

The pair also "submitted forged tax forms and altered bank statements," officials said.

The federal government approved $510,000 in loans based on Bennett and Thomas' fraudulent acts, according to officials. Of that total, $150,000 went to Thomas and the balance was used to pay for personal items such as jewelry and vehicles, according to officials.

Bennett had also received $425,339 from the state of Pennsylvania's Department of Labor in 2020 based on "fraudulent claims he submitted," officials said.

In addition, a May 2021 search of Bennett's home yielded "a .9 millimeter semiautomatic pistol with no serial number (commonly referred to as a ghost gun) and a magazine loaded with 16 rounds of ammunition," according to officials.

Bennett faces up to 60 years in prison and a minimum of $1.5 million when he is sentenced on Nov. 21, officials said.

Thomas has previously pleaded guilty to bank fraud conspiracy and money laundering, according to officials. Her sentence is pending, according to officials.

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