By: Richard L. Smith
Federal authorities have charged twelve individuals in a sweeping bank fraud conspiracy that prosecutors say stretched across New Jersey and Pennsylvania and targeted COVID-19 business relief programs.
Acting U.S. Attorney and Special Attorney Alina Habba said the group is accused of depositing stolen checks, including U.S. Treasury checks tied to the Employee Retention Credit program, into fraudulent business bank accounts and withdrawing the funds for personal gain.
“As alleged, these defendants took advantage of a relief program meant to help struggling businesses during the pandemic,” Habba said. “Rooting out fraud in pandemic programs and holding perpetrators accountable remains a top priority for this office and our law enforcement partners.”
Those charged include:
Wayne Bessant, 44, of Hamilton; Britany Brown, 39, of Philadelphia; John Gerard Ebert, 42, of Hamilton; Joseph Graves-Carmichael, 43, of Trenton; Andrew Hooper, 37, of New Brunswick; Thomas Lee, 55, of Beverly; Patricia Kearse, 46, of Philadelphia; Clarence Semmon, 41, of Trenton; Ryan Small, 32, of Ewing; Dwayne Reddon, 39, of Trenton; Shabazz Rouzard, 33, of Ewing; and Raymond Wade, 42, of Morrisville, Pennsylvania.
Ten of the defendants appeared last week before Magistrate Judge James B. Clark III in federal court in Newark.
Another was already in state custody, and one remains at large.
According to court documents, the scheme ran from March 2023 through May 2025. Prosecutors say the individuals stole more than 100 checks, including roughly 84 Treasury checks and 27 commercial checks, amounting to over $11 million.
Investigators allege the group impersonated legitimate businesses listed on the stolen checks by securing fraudulent business documents in the victims’ names.
They then used those documents to open fake business bank accounts where the checks were deposited.
Once the money cleared, the conspirators are accused of withdrawing the funds and splitting the proceeds.
Many of the federal checks involved were Employee Retention Credit refunds — payments intended to help businesses keep workers on payroll during the height of the COVID-19 pandemic.
Each defendant faces one count of conspiracy to commit bank fraud, a charge that carries a maximum 30-year prison sentence and a fine of up to $1 million.
This case remains under investigation, and additional updates are expected as proceedings continue.