A pastor who embezzled $3.5 million in Covid relief money to fund his lavish lifestyle has been sentenced to 18 months in prison.
Rudolph Brooks, 48, pleaded guilty last week to fraud and money laundering after allegedly abusing the Paycheck Protection Program (PPP) during the pandemic.
Brooks was arrested in April 2021 for fraudulently obtaining PPP loans after submitting falsified documents for companies under his control, Ministry of Justice said.
He secured $3.5 million after inflating the number of employees and payroll on his loan applications, then used the money for personal expenses, including a 2018 Tesla Model 3, real estate in a wealthy Maryland town and extravagant spending at restaurants, grocery stores and other retailers.
Brooks, founder and pastor of the Kingdom Tabernacle of Restoration Church, was also ordered to forfeit more than $2 million, the Tesla and real estate he purchased with the fraudulently obtained money, according to court documents from his sentencing.
The fraud was not related to Brooks’ position within the church.
Rudolph Brooks, 48, pleaded guilty to wire fraud and money laundering after allegedly taking advantage of the Covid Paycheck Protection Program (PPP). Brooks, founder and senior pastor of Kingdom Tabernacle of Restoration Church, was sentenced to 18 months in prison on Tuesday, August 27. He is pictured preaching during a service at the church
He secured $3.5 million after inflating the number of employees and payroll on his loan applications. He then used the money for personal expenses, including a 2018 Tesla Model 3, (stock image) real estate in the wealthy town of Upper Marlboro, Maryland, and extravagant spending at restaurants, grocery stores and other retailers.
Brooks has admitted using the PPP loan proceeds for his own benefit and for payments and purchases that were not allowed under the program, Justice Department documents show.
In addition to the money Brooks used to purchase a home, a luxury car and other expensive shopping expenses, he also made cash withdrawals and transfers to other bank accounts under his control.
On August 27, he pleaded guilty to charges of fraud and money laundering.
A judge sentenced the pastor to 18 months in prison, followed by two years of supervised release, and ordered that several assets be forfeited.
Court documents show that Brooks applied for the PPP loan in May 2020 with a Maryland car dealership he owns called Cars Direct.
He received a $1.5 million PPP loan, which was deposited directly into a Cars Direct bank account, of which he was the sole signatory, after submitting false tax and pay stubs from the dealership.
Brooks applied for the PPP loan through his Maryland-based auto dealership, Cars Direct, Kingdom Tabernacle (pictured), and a company called Madaro, LLC
Brooks received a $1.5 million PPP loan in May 2020, deposited directly into a Cars Direct bank account of which he was the sole signatory, after filing false tax and payroll forms related to the dealership. He then transferred funds from these Cars Direct accounts to his own personal accounts and used the funds on credit card bills
He fraudulently applied for two other PPP loans for $1.8 million and $200,000. Those funds were deposited into accounts tied to Kingdom Tabernacle and Madaro, LLC, in both of which he was the sole signatory.
He then opened a bank account under the name Payroll by BJM, into which he transferred $500,000 of the loan funds. He also opened additional bank accounts under the name Cars Direct, into which he transferred loan funds.
Brooks then transferred money from these Cars Direct accounts to his own personal accounts and used the money for credit card bills, at restaurants, stores, supermarkets, at car auction houses and for his home mortgage payments.
His purchases included a $507,010 home in Upper Marlboro, Maryland, purchased under the name Rudolph Brooks, and a 2018 Tesla Model 3, bought for $60,407 in his son’s name. The vehicle was later registered in Maryland in Brooks’ own name.
Under the federal government’s PPP loan requirements, the funds must be used for payroll costs, mortgage interest, rent and utilities.
Court documents show Brooks also allegedly attempted to receive money through the Economic Injury Disaster Loan (EIJD) program.
He applied for the loans through Cars Direct and Kingdom Tabernacle, but both applications were rejected by the Small Business Administration due to “unsatisfactory credit history.”
Brooks, pictured giving a sermon, was given an 18-month prison sentence, followed by two years of supervised release. He was also ordered to forfeit more than $2 million, the Tesla and real estate he bought with the fraudulently obtained funds, according to court records from his sentencing
Kingdom Tabernacle’s website and Facebook pages were taken offline shortly after his arrest, DailyMail.com previously reported.
In a cached version of the websites, Brooks is described as “a man after God’s own heart” who has a “passion for God’s people.”
“From a young age, Pastor Brooks knew he had a calling to ministry,” the site added. “People received their deliverance before the altar call because the Word of the Lord was so rich in his belly.”
According to his biography on the now-deleted site, Brooks was an assistant pastor at a previous church in Maryland and oversaw the church’s finances.