Former Kansas legislator Michael Capps charged with defrauding agencies of more than $450,000 in COVID-19 funds


WICHITA, Kan. (KSNW) – A federal grand jury in Wichita indicted a Wichita man on charges he defrauded federal, state, and local agencies of more than $450,000 in COVID-19 business recovery funds.

According to court documents, former Kansas state Rep. Michael Capps, 43, is the owner and/or majority owner of Midwest Business Groups, LLC and Krivacy, LLC. Court documents also indicate he is a member of the Fourth and Long Foundation.

Capps is accused of submitting false and fraudulent documents on behalf of the companies to the Small Business Administration (SBA) for Economic Injury Disaster Loans (EIDL), as well as to the Kansas Department of Commerce for Small Business Working Capital grants, and to Sedgwick County for a Sedgwick County Cares grant.

Capps also allegedly sent false and fraudulent documents to Emprise Bank to receive a Payroll
Protection Program (PPP) loan.

The indictment filed against Capps charges him with 19 counts:

  • one count of making false statement to a bank for a PPP loan,
  • one count of bank fraud in connection with a PPP loan,
  • three counts of false statement to the SBA for EIDL loans,
  • three counts of wire fraud in connection with EIDL loans from the SBA,
  • two counts of wire fraud in connection with grants from the Kansas Department of Commerce,
  • one count of wire fraud in connection with a grant from Sedgwick County, and
  • eight counts of money laundering.

The investigating agencies are the FBI and investigators from the Sedgwick County District Attorney’s Office. Assistant U.S. Attorney Alan Metzger is prosecuting the case.

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