Former Philadelphia Eagles running back Wendell Smallwood Jr. has been charged with multiple federal crimes related to alleged COVID-19 relief fraud, prosecutors in Delaware announced Thursday. The 30-year-old could face up to 50 years in prison if convicted on all charges.
Federal investigators allege that Smallwood orchestrated multiple fraudulent schemes targeting pandemic relief programs between 2020 and 2021, during the final years of his NFL career. The Wilmington native, residing in Mullica, New Jersey, is accused of defrauding the Economic Injury Disaster Loan (EIDL) program and the Paycheck Protection Program (PPP).
Prosecutors claim Smallwood obtained approximately $46,000 in fraudulent EIDL loans by submitting applications for defunct or recently registered businesses with misrepresented financial information. Rather than using the funds for business purposes, authorities allege Smallwood withdrew the money for personal use.
In a separate scheme, Smallwood allegedly conspired to defraud the PPP program of $269,000 through a kickback operation. Prosecutors say he collaborated with others to submit at least 13 fraudulent loan applications using fabricated business details and inflated revenue figures. Smallwood reportedly received kickbacks ranging from $4,000 to $12,000 for each fraudulent loan.
The former running back is also accused of participating in a tax fraud conspiracy, allegedly submitting false returns to the IRS to claim nearly $222,000 in refunds. Investigators say these efforts resulted in over $110,000 in fraudulent refund checks being issued.
Smallwood, a fifth-round pick by the Eagles in the 2016 NFL Draft, played three seasons in Philadelphia before brief stints with Washington, Pittsburgh, and Jacksonville. He earned approximately $3 million during his six-year NFL career.
The charges against him include wire fraud, conspiracy to commit wire fraud, and conspiracy to defraud the IRS. His attorney, Mark B. Sheppard, stated that Smallwood is cooperating with prosecutors ahead of a December court appearance.
This case is part of a larger Justice Department crackdown on pandemic relief fraud. The COVID-19 Fraud Enforcement Task Force reports recovering over $1.4 billion in stolen funds, while the SBA’s Office of Inspector General estimates that as much as $200 billion in fraudulent claims may have been made. To date, more than 3,500 individuals have been charged with federal crimes related to COVID-19 relief fraud.
Authorities remain committed to prosecuting those who exploited emergency assistance programs designed to aid struggling businesses and individuals during the pandemic.
