An Owner of a Primary Care Clinic in Louisiana Admits to Stealing & Misusing COVID-19 funds

Watson's falsely claimed that the clinic would solely utilize the funds to combat, plan for, and address the coronavirus, as well as to cover healthcare expenses and lost revenues caused by the virus.

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A woman from Louisiana admitted her guilt in stealing public funds, specifically over $780,000 from the Provider Relief Fund (PRF). This fund was established to provide relief during the COVID-19 pandemic and is managed by the Health Resources and Services Administration. Court documents reveal that Melissa J. Watson, who ran a primary care clinic in Slidell, deceitfully submitted fake claims on behalf of her clinic to wrongfully obtain PRF funds that she was not eligible for.

Watson's falsely claimed that the clinic would solely utilize the funds to combat, plan for, and address the coronavirus, as well as to cover healthcare expenses and lost revenues caused by the virus. However, despite these assurances, Watson misused the PRF funds for personal gain. This included withdrawing cash on multiple occasions and indulging in extravagant purchases such as real estate worth hundreds of thousands of dollars, a luxurious vehicle, a boat with a trailer, and even a time share condominium.

Watson was charged on Friday, April 14, 2023, with stealing public funds, committing wire fraud, and engaging in money laundering. Watson's elaborate scheme involved diverting more than $1.1 million from the Provider Relief Fund (PRF) and the Economic Injury Disaster Loan (EIDL) Program for personal gain.

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Watson, who supposedly ran a primary care clinic and a spa before the COVID-19 pandemic hit, submitting false and deceitful loan attestations and other documents on behalf of her clinic to the HRSA and the SBA. Allegedly, Watson misused the funds from the PRF and EIDL Program for personal gain, which involved multiple cash withdrawals and extravagant purchases such as two luxury vehicles, a significant amount of real estate, a boat, a trailer, a time share, and numerous luxurious vacations.

In response to these alleged actions, the government took action by seized over $500,000 from Watson's bank accounts, as well as various assets including a boat, trailer, and a Range Rover Sport.

Watson's sentencing is set for July 16, where he could potentially receive up to 10 years behind bars. The final decision will be made by a federal district court judge, who will take into account the U.S. Sentencing Guidelines and other legal factors before handing down a sentence.

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