KC Reporter

A Deepwater, Mo., man, Brian Ruth, Sr., has been sentenced to nine years in federal prison without parole for fraudulently obtaining over $500,000 in Paycheck Protection Program (PPP) loans under the CARES Act. U.S. District Judge Roseann Ketchmark handed down the sentence, along with a $15,000 fine, $522,765 in restitution to the Small Business Administration, and a forfeiture of $336,000. Ruth was immediately taken into custody following the hearing.

Ruth admitted to his crimes, stating, "I applied online in May and June 2020, and received three PPP loans totaling $522,765 for three separate business entities." He also acknowledged that he had falsely claimed on his loan documents that he had not been convicted of a fraud offense within the last five years.

The court documents revealed that Ruth used the fraudulently obtained funds to support a lavish lifestyle, including gambling and purchasing high-end vehicles. He traded a 2016 Cadillac and a 2020 Dodge Charger, along with $27,415, to purchase a 2017 Dodge Challenger.

Assistant U.S. Attorney Patrick Carney prosecuted the case, which was investigated by IRS-Criminal Investigation. Ruth's criminal history includes numerous convictions for offenses such as stealing, identity theft, and filing false tax returns. It was noted that Ruth has not gone a single year without being arrested or convicted for some form of fraud or criminal activity.