DOJ: Elk Grove man convicted of defrauding COVID-era program

• Fursov gambled more than $442,000 and paid $100,000 as an unauthorized kickback from EIDL funds.
• He faces up to 20 years in prison and a $250,000 fine, with sentencing scheduled for Jan. 14, 2027.

A federal jury convicted Oleg Gregorvich Fursov of Elk Grove of wire fraud after he misused funds from a $1 million Economic Injury Disaster Loan (EIDL) meant for COVID-19 relief. Fursov falsely certified the loan would be used for business purposes but instead gambled over $442,000 and paid a $100,000 unauthorized kickback.

Fursov had previously applied for and received other COVID-era business loans, including Paycheck Protection Program (PPP) loans and an earlier $150,000 EIDL loan, which he also gambled away. The case was investigated by the FBI and prosecuted as part of the California COVID-19 Fraud Enforcement Strike Force.

• $1 million EIDL loan applied for
• $442,000 Amount gambled at casinos
• $100,000 Unauthorized kickback paid

• Review all EIDL and PPP loan applications for false certifications of business use by Oleg Gregorvich Fursov.
• Screen for unauthorized kickbacks in COVID-19 relief loan disbursements linked to California COVID-19 Fraud Enforcement Strike Force cases.
• Audit gambling transactions involving recipients of pandemic relief funds in the Eastern and Central Districts of California.

This case highlights the risk of fraud in pandemic relief programs, especially when funds are diverted for personal use or unauthorized payments. Compliance officers must scrutinize loan applications and monitor fund usage to detect false certifications and illicit activities. The involvement of the California COVID-19 Fraud Enforcement Strike Force underscores the importance of interagency cooperation and data-driven investigations in identifying and prosecuting large-scale pandemic relief fraud, which can involve criminal organizations and transnational actors.