In Chicago, a Palestinian immigrant was sentenced to 10 years in federal prison for a scheme involving kickbacks linked to fraudulent PPP loan applications, totaling $14 million.
Shalhabir Shreite, 46, received a 120-month sentence, which marks the longest term issued in Chicago’s U.S. District Court related to the Paycheck Protection Program (PPP) initiated during the COVID-19 pandemic.
Prosecutors discovered that Shreite, who was working as a tax representative in the Chicago area, earned $740,000 in kickbacks for misleading PPP loan applications covering around 1,000 clients. The fraudulent loans amounted to nearly $14 million.
It was reported that Shreite transferred significant amounts of money to the Palestinian territories and purchased real estate, a Mercedes, and other luxury items for his wife and three children living in Palestine.
However, his wife in the U.S. seems to be less than thrilled about her husband’s financial decisions, feeling left out of the benefits from the Chicago fraud.
During the trial, an email from Shreite’s wife, Hania Atiku Shreite, aged 52, highlighted her frustration. In a message sent in 2021, she expressed, “This sucks! I’ve been struggling for 13 years, and if I don’t work for it, I won’t get anything like her!”
She further stated, “Given her children a vacation home and now a luxury car? I’m tired of being fooled by you.”
Shreite’s attorney argued for a lighter sentence, noting that his two marriages were consistent with his religious beliefs and were endorsed by his first wife. It’s uncertain if this plea had any impact on the sentencing.
Meanwhile, Shreite himself admitted in court that his scheme was “the stupidest scam of all time,” expressing regret, “I don’t know what to say or do right now. It’s very harmful to everyone. I’m speechless.”
He was indicted on 13 counts of wire fraud in September 2023 and pled guilty to one count in August 2025.
