WICHITA, KAN.– A federal jury convicted a former member of the Kansas legislature of defrauding federal and state agencies by a total of $355,550 in COVIID-19 business recovery funds, according to the United State's Attorney.
Michael Capps, 44, of Wichita was found guilty of submitting false and fraudulent documents on behalf of his companies to Emprise Bank for a Paycheck Protection Program (PPP) loan, to the Small Business Administration (SBA) for Economic Injury Disaster (EIDL) loans, as well as to the Kansas Department of Commerce for Small Business Working Capital grants.
The jury convicted Capps of false statement to a bank for a PPP loan, count of bank fraud – PPP loan, two counts of false statement to the SBA for EIDL loan, two counts of wire fraud SBA,, two counts of wire fraud Kansas Department of Commerce and four counts of money laundering.
Capps represented Kansas House District 85 that includes portions of Sedgwick and Butler Counties from August of 2018-to January of 2021.
The Federal Bureau of Investigation (FBI) and the Sedgwick County District Attorney’s Office investigated the case.