An Andover man whose alleged staged suicide failed to keep him out of custody is now facing charges in Rhode Island that could send him to prison for up to 30 years for allegedly trying to scam $500,000 in federal COVID-19 relief loans, federal prosecutors said.
David Adler Staveley, who is also known as Kurt David Sanborn and David Sanborn and Kurt Sanborn was first arrested by federal authorities in Rhode Island on May 5. He was released on personal recognizance and required to wear a GPS monitoring bracelet, which he allegedly cut off around May 11, US Attorney Aaron L. Weisman’s office said in a statement Thursday.
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“In an effort to deceive law enforcement into believing that he had died, it is alleged that Staveley staged his suicide by, among other things, leaving suicide notes with associates and in his car, which he left unlocked and parked by the Atlantic Ocean,” prosecutors said.
Staveley allegedly used fake identification and stolen license plates to travel around the United States, but was taken into custody in Alphretta, Ga., on July 23. He remains in custody and is scheduled to be arraigned via videoconference on the Rhode Island charges Sept. 21, prosecutors said.
Staveley’s alleged co-conspirator, identified by federal officials as 52-year-old David Andrew Butziger of Warwick, has agreed to plead guilty although a sentencing date has not been set, prosecutors said.
The two men allegedly conspired to seek forgivable loans guaranteed by the Small Business Administration by claiming to have dozens of employees earning wages at four different business, three restaurants, and an electronics business.
“In fact, there were no employees working for any of the businesses,” prosecutors alleged. “Additionally, it is alleged that Staveley posed as his brother in real estate transactions.”
Staveley was indicted Wednesday by a federal grand jury on multiple charges including three counts of bank fraud, conspiracy to commit bank fraud, aggravated identity theft, and failure to appear in court, prosecutors alleged.
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He faces a maximum sentence of 30 years in prison for each count of bank fraud if convicted, according to prosecutors.
John R. Ellement can be reached at john.ellement@globe.com. Follow him on Twitter @JREbosglobe.