A Los Angeles woman has been indicted on federal charges for allegedly defrauding COVID-19 relief programs of $18 million, using the funds for personal real estate, business ventures, and payments to relatives, according to the U.S. Department of Justice.
Marisela Nuno, 53, was charged with three counts of wire fraud and one count of money laundering after prosecutors say she submitted falsified loan applications to the Paycheck Protection Program (PPP) and Economic Injury Disaster Loan (EIDL) program. Court documents allege she sought $15.7 million in PPP loans and $2.6 million in EIDL funds by inflating payroll numbers, revenues, and employee counts for businesses she claimed to own.
Alleged Misuse of Relief Funds
Authorities say Nuno spent the money on unauthorized expenses, including purchasing private property, covering startup costs for undisclosed businesses, and distributing funds to family members. The DOJ also alleges she submitted fraudulent tax documents to support her loan applications.
The case highlights ongoing fallout from pandemic-era relief programs, which distributed billions with limited oversight in 2020 and 2021. In June 2025, Sen. Joni Ernst (R-IA) told Breitbart News that $79 billion in COVID aid was lost to fraud due to inadequate safeguards, leaving legitimate small businesses struggling to access support.
Broader Pattern of Pandemic Fraud
Nuno’s indictment follows multiple high-profile COVID fraud cases, including a recent government watchdog report identifying nearly $1 billion in unemployment benefits at risk of being stolen. Centers for Medicare and Medicaid Services Administrator Dr. Mehmet Oz also warned in April that lax oversight of relief funds emboldened fraudsters to target other programs like Medicare.
If convicted, Nuno faces up to 20 years in prison for each wire fraud count and 10 years for money laundering. The case is being prosecuted by the DOJ’s Fraud Section, which has charged over 3,500 defendants with pandemic-related fraud since 2020.
Source: www.breitbart.com — https://www.breitbart.com/crime/2026/11/05/doj-california-woman-facing-charges-in-18-million-coronavirus-relief-fraud-scheme/