Former Philadelphia Eagles Running Back Wendell Smallwood Charged with COVID-19 Relief and Tax Fraud

Wendell Smallwood Jr., a former running back for the Philadelphia Eagles, has been charged with multiple federal crimes related to defrauding COVID-19 relief programs and the Internal Revenue Service (IRS). According to federal prosecutors in Delaware, Smallwood allegedly defrauded the Economic Injury Disaster Loan (EIDL) program and the Paycheck Protection Program (PPP) by submitting false information and misrepresenting the financial status of his businesses.

Smallwood, 30, who was living in Mullica, New Jersey, at the time of the alleged fraud, is accused of submitting EIDL applications for “defunct or recently registered businesses” and receiving $46,000 in fraudulent loans. These funds were allegedly withdrawn for personal use rather than being invested in his businesses. Additionally, he is charged with conspiring to obtain PPP loans totaling about $269,000 by submitting fraudulent applications for at least 13 sole proprietors using fabricated business information and inflated revenue figures.

The allegations also include a kickback scheme where Smallwood received multiple kickbacks ranging from $4,000 to $12,000 from the PPP loans. Furthermore, he is accused of participating in a tax fraud conspiracy by submitting false tax returns to the IRS, resulting in nearly $222,000 in claimed tax refunds. The IRS processed many of these returns, issuing more than $110,000 in fraudulent refund checks.

Smallwood faces three felony charges: wire fraud, conspiracy to commit wire fraud, and conspiracy to defraud the IRS. If convicted, he could face up to 50 years in prison. His attorney, Mark B. Sheppard, has stated that Smallwood is cooperating with prosecutors ahead of a court appearance in December.

Smallwood was drafted by the Eagles in the fifth round of the 2016 NFL draft and played for the team from 2016 to 2018. He also had stints with the Washington Commanders, Pittsburgh Steelers, and Jacksonville Jaguars. Over his six-year NFL career, he earned around $3 million.