Phoenix Officer Arrested On Federal Fraud Charges For $1.2 Million Loan During The Pandemic, Police Officer Resigns

Former Phoenix police officer has resigned after being arrested on federal charges for taking out a false loan during the pandemic. The officer receiver over $1.2 Million in government funds for a business without employees or payroll.

Toni Richardson and an unidentified person submitted an application for a PPP (Paycheck Protection Program) for a business. They used the funding on personal expenses intended for businesses affected during the pandemic.

According to the indictment, Richardson submitted an application for a social club reported as a “charity for veterans” and was the CEO, director, and president of the company.

Richardson submitted false reports for The Lotto Club, incorporated in May 2015 in Glendale, Arizona. The club did not have any employees, but the former police officer declared 85 employees and an average monthly payroll totaling over a half-million dollars.

On December 1, the FBI arrested Richardson, and she faces conspiracy charges, bank fraud, and transactional money laundering. The former police officer pleaded not guilty on all counts. The court date has been scheduled for February 1, 2022.

A spokesperson for the Phoenix Police stated that the police department took action to terminate Richardson, but the former police officer had submitted her resignation letter before formal termination.