Bolivar County, Mississippi – A Mississippi woman was sentenced to two counts of false representations and one count of wire fraud.
According to State Auditor Shad White, Ethel Cain used her company, Lifeline Financial Freedom Solutions (LFFS), to fraudulently submit grant applications on behalf of other businesses in order to obtain CARES Act stimulus funding administered by MDA through the “Back to Business” grant program.
“These COVID stimulus funds were a lifeline to Mississippi small businesses, the people they employed, and the communities they sustained,” said Lynn Fitch, the state’s attorney general. “This abuse was more than just opportunistic; it was harmful. We will continue to hold those who defraud our state accountable and seek justice for its citizens.”
MDA representatives reported LFFS to the Auditor’s Office after the company’s grant applications were denied. Cain submitted approximately $400,000 in potentially fraudulent grant applications, the vast majority of which were denied. Special agents discovered $38,500 in grant payments made as a result of the fraud.
Cain was found guilty after a jury trial in the Bolivar County Circuit Court. On February 18, 2025, Bolivar County Circuit Court Judge Linda F. Coleman sentenced Cain to five years probation for each count, which will run concurrently. Cain is also required to contribute $500 to the Crime Victim Compensation Fund.
