Junction City Woman Pleads Guilty in COVID-19 Relief Fraud Case
Federal prosecutors say more than $487,000 in pandemic aid was diverted for personal use
A woman from Junction City has pleaded guilty to stealing hundreds of thousands of dollars in federal COVID-19 relief funds, according to the U.S. Attorney’s Office – District of Oregon.
Federal prosecutors said Jodi Aliece Jennings, 50, pleaded guilty Wednesday to one count of wire fraud related to the misuse of pandemic-era small business assistance programs. The plea was entered in federal court in Eugene.
According to court documents, between April 2020 and January 2022, Jennings applied for and received six Paycheck Protection Program (PPP) loans and one Economic Injury Disaster Loan (EIDL) Advance. Prosecutors said Jennings also submitted three fraudulent loan forgiveness applications tied to three businesses: Meridian Redevelopment, J Jenn Enterprises Inc., and J2 Investments.
Authorities said Jennings falsely claimed the businesses were operating and paying employees before and during the COVID-19 pandemic. Instead, prosecutors allege the funds were used for personal expenses.
In total, Jennings obtained no less than $487,386.75, a figure that includes the EIDL advance, PPP loan principal and interest, and lender fees paid by the U.S. Small Business Administration.
A federal grand jury indicted Jennings in June 2023, charging her with nine counts of wire fraud. As part of her plea agreement, Jennings has agreed to pay restitution to the U.S. Small Business Administration.
Jennings faces a maximum sentence of up to 20 years in federal prison, a fine of up to $250,000, and three years of supervised release. Sentencing is scheduled for April 22, 2026, before a U.S. District Court judge.
The case was investigated by the SBA Office of Inspector General and the U.S. Treasury Inspector General for Tax Administration. Prosecutors noted that individuals with information related to attempted COVID-19 relief fraud can report tips through the Justice Department’s National Center for Disaster Fraud.
