A Utah businessman has been sentenced to 18 months in prison for defrauding the COVID-19 Paycheck Protection Program (PPP) of $628,307. Marcelo Federico Torre, 42, from Draper, Utah, pleaded guilty to wire fraud and possession of stolen mail on April 10, 2025. Senior U.S. District Court Judge Clark Waddoups also ordered Torre to three years of supervised release and restitution payment of $628,307.
Torre’s fraudulent activities took place between April 27 and May 5, 2021. He submitted a false PPP loan application through U.S. Bank for his company, Offerworks Inc., which he owned and controlled. The application contained misleading information about the company’s operations and payroll.
Acting U.S. Attorney Felice John Viti stated: “The amount of money Mr. Torre stole from the U.S. government and taxpayers, which was intended to keep businesses open and provide salaries for employees and their families during the COVID-19 pandemic, is significant and his fraud will not go unpunished.” Viti expressed hope that Torre’s sentence would deter similar criminal activities.
The investigation involved multiple agencies including the U.S. Postal Investigation Service, Draper City Police Department, Salt Lake City Police Department, IRS Criminal Investigation Division, SBA Office of Inspector General (SBA-OIG), and the U.S. Treasury Inspector General for Tax Administration (TIGTA). Assistant United States Attorney Todd C. Bouton prosecuted the case.
The Fraud Section leads efforts against schemes exploiting the PPP since the CARES Act’s inception. Over 150 defendants have been prosecuted in more than 95 cases with over $75 million seized in cash proceeds derived from fraudulent PPP funds.
