WQBE News

A woman is sentenced for PPP loan fraud

A Cross Lanes woman who pleaded guilty to a COVID-19 relief fraud scheme has been sentenced. 32-year old Krista Menchaca was sentenced to three years of federal probation, according to a news release from the U.S. Attorney’s Office for the Southern District of West Virginia. Eyewitness News said she has also been ordered to pay $21,963.96 in restitution. Menchaca received nearly $20,000 from a fraudulent Paycheck Protection Plan loan in 2021. She admitted as part of her guilty plea that a 1040 form for the Internal Revenue Service falsely claimed that she was self-employed with an annual gross income of over $93,000, and was faked to obtain the fraudulent PPP loan.

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