Kansas man admits to defrauding government program of $1 million

TOPEKA (KSNT) - A Kansas man is set to be sentenced after admitting that he defrauded a program of the U.S. Department of Agriculture for $1 million.

Danielle Thomas with the U.S. Department of Justice reports that Perry Johnson, 55, of Ozawkie has pled guilty to one count of making a false statement on loan or credit applications.

The USDA's Rural Development program is meant to help older adults and low-income residents with rental housing expenses, according to Thomas. One of the program's policies is that all properties must submit Identity of Interest (IOI) disclosures concerning any personal relationships with vendors performing work on properties.

Johnson worked as a regional manager of a company that managed 47 properties in Kansas between 2014 and 2017, according to Thomas. Johnson was responsible for each property's budget and approval of contracts. He ignored the IOI policy and created $1 million in vendor maintenance and repair invoices in the names of relatives and friends from which he financially benefited. He also made false worksheets claiming his son lived at three different rural housing apartments although his son was never a tenant at any of those properties.

Johnson is scheduled to be sentenced on June 21 in a federal district court, according to Thomas.