Carl Delano Torjagbo, also known as Karl Lucius Delano, has been sentenced to 14 years and seven months in federal prison for defrauding the government of $13 million through a Paycheck Protection Program (PPP) loan scheme and fraudulent tax filings. In addition to his prison sentence, Torjagbo was ordered to forfeit millions of dollars in cash and property obtained through these crimes.
“This defendant shamelessly defrauded the government out of $13 million in taxpayer money to fund his lavish lifestyle,” said U.S. Attorney Theodore S. Hertzberg. “Through aggressive prosecution, my office will continue to ensure that anyone who abuses government relief programs and robs government coffers pays dearly for their crimes.”
According to prosecutors, Torjagbo submitted false tax returns using multiple social security numbers and dates of birth on February 13, 2021. These filings claimed over $3 million in tax withholdings and reported fictitious losses from Kremkov Industries, which he described as a gold mining business in Ghana. The IRS issued him a refund check totaling more than $3.3 million based on these misrepresentations.
Just days later, Torjagbo applied for a PPP loan worth over $9.5 million by falsely certifying that Kremkov Industries operated with 493 employees and had an average monthly payroll near $4 million. To support his application, he provided fake documents listing celebrities and fictional characters—such as Keanu Reeves, Gene Hackman, Charlie Brown, Nancy Drew, John Snow, and Emilia Clarke—as employees. The bank approved the loan based on this information and transferred the funds to Torjagbo’s account.
Torjagbo used the proceeds from these schemes to pay personal debts and expenses as well as purchase luxury items including a Marietta mansion.
A jury convicted Torjagbo on July 25, 2025 of one count of bank fraud, two counts of wire fraud, and seven counts of money laundering.
On January 27, 2026 U.S. District Judge Michael L. Brown sentenced Torjagbo to serve time in prison followed by five years of supervised release. He must also pay at least $3.36 million in restitution and forfeit assets including:
– A personal money judgment exceeding $4.6 million
– Over $1.75 million seized from bank accounts
– A Marietta residence purchased for about $1.7 million
– Three luxury vehicles bought for more than $500,000 collectively
– Land in Cartersville and Acworth valued at over $241,000
“Carl Torjagbo’s fraudulent actions represent one of the largest single instances of PPP loan fraud,” said Peter Ellis, Acting Special Agent in Charge of FBI Atlanta. “By fabricating a sham business and lying to steal millions, he blatantly exploited taxpayer dollars meant to help those in need. The FBI will relentlessly pursue criminals like Torjagbo who think they can profit at the public’s expense.”
“Torjagbo’s sentence sends a clear message to criminals that committing tax fraud and defrauding federal programs for personal gain ends with them being held accountable,” said Special Agent in Charge Demetrius Hardeman from IRS Criminal Investigation’s Atlanta Field Office. “IRS Criminal Investigation remains committed to protecting taxpayer dollars and ensuring that fraudsters face the full consequences of their actions.”
“This sentencing demonstrates the commitment of the Treasury Inspector General for Tax Administration (TIGTA) to investigate and bring to justice those who victimize the American taxpayer,” said Joel Weaver, TIGTA Special Agent-in-Charge.“Fraudulently applying for loans through a federal program meant to assist Americans in need will be met with aggressive investigation and prosecution.I want to thank our law enforcement partners and the U.S.Attorney’s Office for their commitment to this goal.”
The case was investigated by several agencies including the Federal Bureau of Investigation (FBI), Internal Revenue Service Criminal Investigation (IRS CI), U.S.Treasury Inspector General for Tax Administration (TIGTA), with assistance from Social Security Administration Office of Inspector General.Assistant U.S.Attorneys Kelly K.Connors and Nicholas L.Evert prosecuted.
The U.S.Attorney for the Northern District of Georgia serves as the main federal law enforcement agency across north Georgia—including Atlanta—and manages criminal prosecutions like this case while working alongside other agencies on matters ranging from terrorism prevention to financial crime.The office covers an area serving approximately 7.5 million residents (source).
The Department of Justice established its COVID-19 Fraud Enforcement Task Force on May 17th ,2021 ,to coordinate resources against pandemic-related frauds.More information is available at https://www.justice.gov/coronavirus .
Reports about suspected COVID-19 related fraud can be made via phone or online form at https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form .
