Breaking: Former Eagles Star Faces Federal Prison in COVID Relief Scheme
In a shocking turn of events, Wendell Smallwood Jr., a former Philadelphia Eagles running back and Delaware native, is at the center of a major federal investigation into COVID-19 relief fraud and tax schemes.
Federal prosecutors unveiled charges against the ex-NFL player, accusing him of orchestrating a complex web of deceit that allegedly netted hundreds of thousands of dollars in fraudulent COVID relief funds and tax refunds. The charges could lead to a maximum sentence of 50 years behind bars.
The COVID Cash Grab
According to court documents, Smallwood’s alleged scheme targeted two major pandemic relief programs:
- The Economic Injury Disaster Loan (EIDL) program, where prosecutors say he pocketed $46,000 through fake business applications
- The Paycheck Protection Program (PPP), which allegedly yielded $269,000 through 13 fraudulent applications
“The money wasn’t used for legitimate business expenses,” said prosecutors, noting that much of it was withdrawn as cash from ATMs across Delaware and nearby states.
Inside the Scheme
Investigators paint a picture of a carefully planned operation where Smallwood allegedly:
- Set up fake or recently registered businesses
- Filed false information about business operations
- Worked with others to submit bogus applications
- Received kickbacks ranging from $4,000 to $12,000 per application
From Football Glory to Federal Charges
The fall from grace is particularly striking for Smallwood, who once inspired local youth as a hometown hero. After starring at Red Lion Christian Academy in Bear, Delaware, he achieved his NFL dreams with the Philadelphia Eagles in 2016 and played five seasons in the league.
Mark B. Sheppard, Smallwood’s attorney, stated: “Wendell has cooperated fully with this investigation. We will have more to say when we appear in December.”
Part of a Larger Problem
Smallwood’s case highlights a broader issue facing federal authorities. The Justice Department’s COVID-19 Enforcement Task Force reports:
- Over 3,500 people charged with federal crimes
- More than $1.4 billion in stolen pandemic funds recovered
- At least 400 civil settlements and judgments were reached
The Small Business Administration estimates an astounding $200 billion in potentially fraudulent loans were disbursed during the pandemic, representing about 17% of all COVID relief funds.
What’s Next
Smallwood hasn’t entered a plea yet, but court records show an arraignment scheduled for December. While the maximum sentence is steep, legal experts note that first-time offenders typically receive lighter sentences.
The case, being prosecuted by U.S. Attorney David Weiss in the District of Delaware, is a stark reminder that COVID relief fraud investigations continue to unfold, reaching all corners of society—from small-time scammers to former professional athletes.
As this story develops, many in the Delaware community and Eagles nation watch with disappointment as one risks trading his football jersey for prison stripes.