South Florida political organizer sentenced to federal prison for COVID loan fraud

A Palm Beach County political organizer and former chairman of the Black Republican Caucus of Florida was sentenced to three years in federal prison after fraudulently applying for over $800,000 in government loans intended to provide aid during the COVID-19 pandemic, according to federal prosecutors.

Sean Pierre Jackson, 33, pleaded guilty to wire fraud in August. He was sentenced Wednesday and ordered to pay $661,986 in restitution. Jackson will be on supervised release for three years after his completing his sentence.

Between March 2020 and May 2021, Jackson applied for Paycheck Protection Program and Economic Injury Disaster Loans on behalf of himself and the companies he was the registered agent of: Clutch Strategies, SP Jackson Family Foundation Inc., Black Republican Caucus of Florida Foundation Inc. and the political nonprofit organization Black Republican Caucus of Florida, according to federal court records.

Jackson fraudulently applied for a total of $839,261 in loans, court records say. In the applications, Jackson provided false information about income and expenses for the prior year and submitted false IRS forms with the applications.

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In June 2020, Jackson submitted a PPP loan application on behalf of the Black Republican Caucus of Florida, of which Florida Department of State records say he was the chairman, treasurer and registered agent. He received a $150,325 loan into the organization’s bank account, claiming it would be to pay a lease, mortgage interest and utilities, court records say.

State records show Jackson registered as the registered agent of the Black Republican Caucus of Florida in March 2016. Jackson’s organization repeatedly failed to file required campaign reports on time, resulting in fines.

In November 2018, Gov. Ron DeSantis’ campaign paid Jackson $6,558.92 and he received $5,000 from the Republican Party of Florida in October that year, according to a Division of Elections campaign finance database.

The Florida Elections Commission at a meeting in November 2019 discussed whether the Division of Elections should cancel the organization’s registration as a political action committee because of $300 in unpaid fines. Jackson paid $50 of the outstanding $300, though his campaign finance activity showed a “surplus balance” of more than $10,000, state records say.

By December 2019, the Division of Elections canceled the organization’s registration as a political action committee.

Jackson’s application for the PPP loan in June 2020 falsely said the organization employed 11 people in 2020, but Florida Department of Revenue Service General Tax Administration records showed Jackson did not report to the state employing anyone in 2020, court records say.

The organization’s bank account records showed the money was spent at “high-end retail stores and restaurants, car rentals, luxury hotels, airline tickets, furniture stores, cash application transfers, and ATM and bank withdrawals,” according to court records.

In total, 11 loans were disbursed and banks and lenders recovered some of the money, but court records say the Small Business Administration, which backs the loans, and lenders lost nearly $650,000.

Court records say Jackson must surrender himself by noon on Jan. 30.