By rssfeeds-admin 
On Wednesday, the U.S. Attorney’s Office for the District of Oregon reported that officials recovered the money from Michael James DeFrees more than a year after he was sentenced to 21 months in prison.
The Attorney’s Office alleged the 63-year-old man submitted fraudulent loan applications between 2020 and 2022, and subsequently received Economic Injury Disaster Loans and Paycheck Protection Program funds.
DeFrees claimed he hadn’t been convicted of any of the offenses that would impact his loan eligibility, and he hadn’t recently faced parole or probation. But according to authorities, he was placed on probation due to his felony conviction of falsifying records during a bankruptcy proceeding in 2017.
Officials reported that DeFrees laundered the federal funds through a business he hadn’t listed on his applications, before using them for personal purchases. He was sentenced for fraudulently obtaining and laundering the relief funds in February 2024.
Authorities ordered the former developer to pay the U.S. Small Business Administration more than $1.3 million and forfeit another $1.2 million as part of his sentencing. The Attorney’s Office’s Asset Recovery Unit later filed liens to sell several of DeFrees’ personal belongings, including a 2016 Duckworth boat, two Honda Yeti snow bikes and a 2011 Land Rover.
“Defendants who attempt to shield their assets from collection do so at their own peril, as the U.S. Attorney’s Office will aggressively pursue full payment from defendants who owe restitution to their victims,” Chief of the Asset Recovery Unit for the District of Oregon Katie de Villiers said. “The money recovered for victims — here, the taxpayers — is a direct result of the dedicated investigators, paralegals, and attorneys who work diligently, day in and day out, to ensure justice through their collection efforts.”
The sale of personal assets, and one real property generated more than $2.5 million, according to federal officials. They announced that around half of the funds will be returned to the SBA while the remainder will be allocated toward the Assets Forfeiture Fund.
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