Florida U.S. Representative Sheila Cherfilus-McCormick has been accused of stealing $5 million from federal disaster funds and using the money to fund her 2021 congressional campaign. The Democrat is now under investigation for allegedly laundering the money.
The Department of Justice accused Cherfilus-McCormick of laundering the money after her family business received overpayments during the pandemic. Trinity Healthcare Services, run by her and her brother Edwin Cherfilus, was caught overcharging FEMA for its services.
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In July 2021, the siblings allegedly received a $5 million overpayment from FEMA, which they did not return. The DOJ detailed how the money was funded for the COVID-19 vaccination staffing contract during the pandemic.
“Using disaster relief funds for self-enrichment is a particularly selfish, cynical crime,” Pam Bondi noted in a statement. “No one is above the law, least of all powerful people who rob taxpayers for personal gain,” the attorney general added. She went on to add how the DOJ will follow the facts of the case and bring justice.
The Mirror US reports that Cherfilus-McCormick, who represents Broward and Palm Beach counties in Florida’s 20th District, entered Congress in 2022. She was elected after a special election was carried out to replace the late Rep. Alcee Hastings.
Sheila and Edwin allegedly laundered the money by using multiple accounts in order to avoid giving away its source. Cherfilus-McCormick and Nadege Leblanc have been accused of orchestrating a “straw donor” scheme, according to a CNBC report.
The two allegedly sent the money they received from FEMA as an overpayment to their friends and relatives. The same group of people then donated the money back to Cherfilus-McCormick under the guise of donors for her campaign.
A report from the Office of Congressional Ethics revealed that her income in 2021 went up by more than $6 million from the previous year. In 2021, she served as the CEO of her family business.
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The congresswoman’s attorneys, David Oscar Markus, Margot Moss, and Melissa Madrigal, released a statement in her defense.
In a joint statement, the legal team said that she “is a committed public servant, who is dedicated to her constituents. We will fight to clear her good name.” Cherfilus-McCormick has also been under investigation by the House Ethics Committee since May.
Cherfilus-McCormick and her 2021 tax preparer, David Spencer, have also been accused of conspiring to file a false tax return. The DOJ revealed that Cherfilus-McCormick could face 53 years in prison if convicted. While her brother, Edwin Cherfilus, could get up to 35 years in prison.
