The senior vice president of the Atlanta Housing Authority was accused of creating a scheme to collect Section 8 housing assistancepaymentson her property and those of family members while also submitting fraudulent applications forpandemic relieffunds,federal prosecutorssay.
Tracy Denise Jones, a 61-year-old woman from Atlanta, was arraigned on Dec. 19 onfederal charges of conspiracyto commit theft of government funds, wire fraud and credit application fraud, according to a Dec. 22 news release from the Northern District of Georgia's U.S. Attorney's Office.
"A long-time senior executive of one of the largest housing authorities in the nation, Jones was entrusted to deliver vast sums of government assistance to our community's neediest members," U.S. attorney Theodore S. Hertzberg said in the release. "But Jones allegedly exploited a variety of assistance programs and chose to line her own pockets using an alternate identity, multiple business entities, a false affidavit and a cadre of associate willing to lie on her behalf."
Atlanta Housing Authority: Fake name and shell business conceal identity
Jones served with the Atlanta Housing Authority over the Housing Choice Voucher Program since 2017, which includes one of the largest Section 8 housing programs in the nation.
Section 8 offers rental assistance payments to landlords to supplement rent from low-income individuals and families. There are often long waits to get approved for Section 8 assistance, and the funds are limited, federal prosecutors said.
Jones is accused of creating a fake name and a shell business entity in order to complete Section 8 documents for a home she owned and rented to her family members, generally prohibited for housing authority staff.
She received more than $36,000 in Section 8 funds she wasn't eligible for, and when an investigation was launched into the fake identity, Jones is accused of submitting a false affidavit and then convincing friends to lie on her behalf, prosecutors said.
Used shell business for COVID-19 relief funds
While the shell business was used to funnel money from Section 8, prosecutors say Jones also used it to apply for more than $27,000 in U.S. Small Business Administration COVID-19 pandemic relief programs.
Jones claimed her business was functioning and was carrying a staff, and that the company made $56,000 in gross revenue in 2019. When one application was denied Jones appealed the decision and said she was "truly a[n] honestly business owner," and that she had "heard how people abused the PPP loans to establish a lavish lif[e] style," but "that is not me."
Fraud across finances
As investigators took a closer look at Jones' Section 8 property, they found she had refinished the mortgage but lied on her application.
Jones claimed the $219,780 loan was for a property that was her primary residence and not a rental. She also stated she didn't own any other property.
The investigation into Jones was part of the COVID-19 Fraud Enforcement Task Force established in 2021.
Irene Wright is the Atlanta Connect reporter with USA Today's Deep South Connect team. Find her on X @IreneEWright or email her at ismith@usatodayco.com.
This article originally appeared on USA TODAY:Atlanta Housing Authority senior vice president charged with fraud