(Sioux City)– A former Algona meatpacking plant worker who obtained fraudulent Paycheck Protection Program loans and recruited others into the scheme was convicted by a jury this week following a trial in federal court in Sioux City.
48-year-old Yovany Ciero of Mason City, formerly of Cuba, Columbia and Venezuela, was convicted on three counts of wire fraud, 23 counts of money laundering, one count of engaging in a monetary transaction in property derived from unlawful activity and one count of money laundering conspiracy.
Evidence during the trial showed that Ciero is a former sergeant in the Cuban military who crossed the Mexican border nearly 20 years ago after his request for a visa to enter the U.S was denied. According to the U.S. Attorney’s Office, in 2020 Ciero was working at an Algona meatpacking plant at the start of the covid-19 pandemic. Beginning in July 2020, Ciero and over 100 other immigrants from Cuba obtained fraudulent Paycheck Protection Program loans on the false and fraudulent pretenses that they were self-employed who earned about $100,000 in gross income in 2019 when they actually worked at the meatpacking plant or elsewhere.
Federal prosecutors say Ciero was one of six so-called “bundlers” in the scheme that resulted in over $4 million in fraudulent loan PPP applications, with the government losing more than $2.4 million as a result.
Once the individuals received their fraudulent loans, typically about $20,000 each, Ciero served as a “funnel” in a money laundering conspiracy and collected fees that were charged to the applicants. Ciero also obtained two fraudulent loans for himself, using most of the money to purchase a semi-truck.
Ciero is the sixth former Iowa meatpacking plant worker convicted in the scheme. Sentencing is pending completion of a pre-sentence report. Ciero in the meantime is free on bond. He faces a possible maximum of life imprisonment and over $10 million in fines.
