Non-Profit Leader Convicted of Bank Fraud for False Statements in Applications for Paycheck Protection Program Loans

TULSA, Okla.- A federal jury convicted Victor Kensington Colbert Jr. of two counts of bank fraud for his fraudulent Paycheck Protection Program Loan Applications. Colbert ran the non-profit organization Oklahoma Heartland Heroes Foundation from 2018 until 2022. During the Covid-19 Pandemic, Colbert applied for and received several pandemic-related loans, including two Paycheck Protection Program loans and one Economic Injury Disaster Loan Advance totaling $217,490.

United States Attorney Christopher Nassar says, "Colbert exploited a program intended to provide economic relief during a national crisis. His actions undermine the integrity of these relief programs and represent a serious abuse of public trust. This conviction demonstrates that those who commit fraud to against the American taxpayer will be held accountable."

Colbert submitted loan application documents for the Paycheck Protection Program to Tulsa Federal Credit Union and received a total of $217,490. However, several Oklahoma Heartland Heroes Foundations employees testified at trial that Colbert never paid them, either before or after Colbert received the funds. Colbert further submitted fraudulent and unfiled tax documents claiming Oklahoma Heartland Heroes Foundation paid payroll taxes on those salaries in support of the loans.

"This conviction sends a clear message that those who defraud the federal government of pandemic relief funds will be held accountable and brought to justice for their actions," said John T. Perez, Special Agent in Charge, Headquarters Operations, Office of Inspector General for the Board of Governors of the Federal Reserve System and Bureau of Consumer Financial Protection. "We thank the U.S. Attorney's Office for their efforts that led to this result."

Assistant United States Attorneys Thomas Buscemi and Charles Greenough prosecuted the matter.

This case was investigated by the Office of Inspector General for the Board of Governors of the Federal Reserve System and Consumer Financial Protection Bureau.