Greer, South Carolina – A federal fraud scheme that siphoned more than $1.8 million from pandemic relief programs has resulted in a lengthy prison sentence for a Greer man who authorities say orchestrated the operation.
Jonathan Wade Sumter, 54, of Greer, has been sentenced to 80 months in federal prison after pleading guilty to wire fraud and money laundering connected to a plan that targeted two key federal relief initiatives created during the COVID-19 crisis. United States District Judge Mary Geiger Lewis imposed the sentence, which will also include three years of supervised release once Sumter completes his time behind bars. Federal sentences do not include the possibility of parole.
Investigators determined that from June 2020 through January 2022, Sumter worked alongside his twin brother, Jason Elijah Sumter, and Gerothia McCullough to exploit the Paycheck Protection Program (PPP) and the Economic Injury Disaster Loan (EIDL) program. The trio submitted applications seeking pandemic relief funds for businesses that were either inactive or entirely fabricated.
According to evidence gathered during the investigation, the applications contained falsified records designed to make the companies appear legitimate. Authorities say the paperwork included invented employee wage data, fabricated operating expenses, and other misleading financial information. The claims were filed under the names of several companies, including Living Water Outreach, High Consulting, Lyons Transport, GSM Home Care, Challenge Consulting, and Omni Holdings.
Prosecutors said the fraudulent submissions ultimately resulted in more than $1.8 million in loan payments being issued through the federal programs. Sumter was identified as the central figure behind the scheme, preparing and submitting many of the applications with the consent of his co-defendants before the group divided the funds.
The court also ordered the defendants to repay the money obtained through the fraud. Jonathan Sumter must pay $1,802,741 in restitution. Jason Elijah Sumter was ordered to pay $739,786 and surrender a parcel of property in Orangeburg County. McCullough was directed to repay $478,366 and forfeit a 2018 GMC Canyon.
Jonathan Sumter’s new sentence will run at the same time as a 92-month federal prison term he is already serving following a 2023 conviction for health care fraud.
The case was investigated by the Small Business Administration and Internal Revenue Service Criminal Investigation. Assistant U.S. Attorney T. DeWayne Pearson handled the prosecution.
