Victor Kensington Colbert, Jr., 60, has been indicted on two counts of bank fraud related to his management of the Oklahoma Heartland Heroes Foundation, a nonprofit based in Bixby. The indictment, recently unsealed in Tulsa, alleges that Colbert submitted at least five applications for financial relief under the CARES Act on behalf of Heartland Heroes.
The CARES Act, enacted in March 2020, created programs such as the Paycheck Protection Program (PPP) to support small businesses during the COVID-19 pandemic. According to the indictment, Colbert obtained at least two PPP loans and one Economic Injury Disaster Loan advance for the foundation. The total amount received was approximately $217,000.
Authorities allege that Colbert provided false information in these applications. He is accused of submitting documentation indicating that Heartland Heroes had several employees with monthly payroll expenses exceeding $55,000. Colbert also claimed that any funds obtained would be used to retain workers and maintain payroll or cover mortgage interest, lease payments, utility payments, and other eligible expenses.
The Office of the Inspector General for the Federal Reserve System is leading the investigation. Assistant U.S. Attorney Thomas Buscemi is prosecuting the case.
“An indictment is merely an allegation. The defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.”
The Fraud Section leads efforts to prosecute schemes targeting federal pandemic relief programs like PPP. Since 2020, more than 150 individuals have been prosecuted in over 95 criminal cases involving fraudulent claims for these funds. Authorities have seized more than $75 million in cash proceeds from fraudulent PPP activities as well as real estate and luxury goods purchased with illicit funds. Additional details are available at Justice.gov/OPA/pr/justice-department-takes-action-against-covid-19-fraud.
