Rudolph Brooks, 48, stole $3.5million in Covid relief money to fund a lavish lifestyle. He pled guilty to wire fraud and money laundering last week and has been sentenced to 18 months in prison. The pastor was arrested in April 2021 for exploiting the pandemic-era Paycheck Protection Program (PPP). The Department of Justice says he submitted falsified documents for businesses under his control.
Brooks, founder and senior pastor at Kingdom Tabernacle of Restoration church, inflated employee numbers and payroll expenses to qualify for $ 3.5 million on his loan application. He used the stolen money to purchase property in an affluent Maryland town, a 2018 Tesla Model 3, and extensive spending at restaurants, grocery stores, and other businesses.
The pastor was ordered by the court to forfeit over $ 2 million in cash, He was also sentenced to turn over the Tesla and the real estate he purchased with his ill-gotten gains. Brooks confessed to using PPP loan proceeds for his personal benefit. He used the loans, intended for keeping employees paid during the pandemic, on payments and purchases that were not permitted under the program, according to the DOJ.
He used the money to fund a residence, luxury vehicle, and other lavish shopping expenses. He also made cash withdrawals and transfers to other bank accounts under his control. After his 18 months in prison, he will face two years of supervised release and mandated the forfeiture of several assets. The pastor applied for the PPP loan under a Maryland-based car dealership.
He requested a loan from a dealership called Cars Direct in May 2020 according to court documents. The government gave him a $1.5million PPP loan which was deposited directly into a Cars Direct bank account. He was the sole signature on the paperwork and submitted fake tax and payroll forms related to the dealership. Brooks applied for two other loans as well.
Fraudulent applications were filed from Kingdom Tabernacle and Madaro, LLC, both of which he was the sole owner. These loans were for $ 1.8 million and $200,000 respectively. The pastor transferred $500,000 of the loan funds into a bank account called Payroll by BJM. He also opened up additional bank accounts using the Cars Direct name.
Brooks took the money from these accents and transferred it to personally held bank accounts. He used the funds at restaurants, retail stores, grocery stores, credit card bills, automotive auctioneers, and mortgage payments on his home. Under the name Rudolph Brooks he bought a $507,010 property in Upper Marlboro, Maryland. He purchased a 2018 Tesla Model 3 for $60,407 in his son’s name.
He also attempted to receive funds through the Economic Injury Disaster Loan (EIJD) program, but applications were rejected by the Small Business Administration due to “unsatisfactory credit history”. The Church website and Facebook page have been taken down, but described him as “a man after God’s own heart’ who has a ‘passion for God’s people.” “From an early age Pastor Brooks knew he had a calling for ministry,” the site added. “People would receive their deliverance before the altar call because the Word of the Lord was so rich in his belly.”