A Shelton man has admitted to defrauding a federal pandemic relief program, according to the U.S. Attorney’s Office for the District of Connecticut.
Tony Sterlin Cantave, 45, pleaded guilty Tuesday before U.S. District Judge Victor A. Bolden in New Haven.
In June 2020, Cantave applied for funding through the Economic Injury Disaster Loans program of the U.S. Small Business Administration.
Authorities say Cantave’s application falsely claimed that his limousine transportation business, Arbitrage 1 Media, was “an ongoing, legitimate” operation, and that he was not more than 60 days delinquent in child support obligations.
SBA reviewed and approved the application, awarding Cantave $96,200. He used that money to pay for personal and non-business expenses, including paying off a $16,607 automobile loan, according to authorities.
He pleaded guilty to one count of theft of government money and one count of making an illegal monetary transaction. Each charge carries a maximum term of 10 years in prison.
Cantave, who will be sentenced at a future date, has agreed to pay $104,176.21 in restitution.
Cantave has two prior federal convictions, including a firearm offense in 1999 for which he was sentenced to 18 months in prison.
In addition, he was sentenced to 13 months in connection with a U.S. Postal Service money order fraud scheme.
This investigation was conducted by the U.S. Postal Inspection Service and the Internal Revenue Service’s Criminal Investigation Division.
