The owner of a telecommunications company in Florida has received a five-year prison sentence after admitting to fraud related to a federal program designed to provide discounted phone services to low-income individuals.
Issa Asad, CEO of Q Link Wireless LLC, pleaded guilty last year to charges of wire fraud and conspiracy to embezzle government funds, as confirmed by the Justice Department.
As part of the sentence, Asad will serve five years, and he and the company must also pay around $128 million in fines and restitution.
Additionally, Asad admitted to misusing funds from a government loan program intended to assist businesses affected by the Covid-19 pandemic.
Under the plea deal, Asad and Q Link are on the hook for nearly $110 million in reparations to the Federal Communications Commission (FCC), and Asad has already paid about $17.5 million in criminal penalties related to the fraudulent phone service scheme.
This case stands as one of the largest financial penalties ever imposed by the FCC.
Asad also compensated more than $1.7 million to small business managers for profits from the fraudulent loan program during the pandemic. Allegedly, he misappropriated funds meant for payroll protection—using them instead for personal expenses like home construction, luxury vehicle payments, property taxes, jewelry, and even university donations.
The DOJ stated that Asad and Q Link engaged in a scheme that exploited the FCC’s Lifeline program. This involved providing false information about Lifeline customers and repeatedly submitting fraudulent claims for government refunds from 2012 to 2021. They admitted to improperly accessing funds from the Lifeline program and deceiving the FCC regarding compliance with its rules.
According to the Miami Herald, Asad has a prior criminal record, including a murder charge in 2014 connected to a dispute over lawn service payments.
Ultimately, he did not contest a misdemeanor charge in that case, resulting in a year of probation and a $225 fine.
