MINNEAPOLIS, Minn. (KFGO) – An Eden Prairie man has been found guilty by a federal jury of applying for over $2.1 million in COVID-19 relief funds for personal use.
Between March and May 2020, 75-year-old Harold Kaeding, using the name of close family members, applied for six corporate entity loans through the Paycheck Protection Program and the Economic Injury Disaster Loan Program. Kaeding made up tax documents, bank statements, and other records to make the applications seem legitimate, despite none of the entities filing taxes or paying employees from 2019 to 2020.
He initially received nearly $1.6 million in fraud proceeds before banks caught on and took some money back. Kaeding transferred the remaining $660,000 to bank accounts, opened in the names of the family members that he controlled, and used the money for himself.
In early 2021, Kaeding fled to Columbia to evade arrest but was eventually deported back to the U.S. A sentencing hearing will take place later.
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