TRENTON, N.J. — A Perth Amboy woman admitted to fraudulently obtaining more than $190,000 in federal COVID-19 relief funds, including loans and unemployment benefits, by submitting false applications, U.S. Attorney Alina Habba announced Thursday.

Damaris Valerio, also known as Damaris Tineo Abreu, 42, pleaded guilty before U.S. District Judge Robert Kirsch to one count of wire fraud and one count of money laundering.

According to court documents, Valerio submitted fraudulent applications between April 2020 and December 2021 for Economic Injury Disaster Loan (EIDL) funds, Paycheck Protection Program (PPP) loans, and pandemic unemployment benefits. She inflated business revenues, payroll figures, and employee counts to qualify for the programs.

Authorities say Valerio ultimately received $194,212 in funds and used the proceeds for personal expenses, violating the terms of the relief programs.

Sentencing set for October as investigation continues

The wire fraud charge carries a maximum sentence of 20 years in prison and a fine of $250,000 or double the amount of gain or loss. The money laundering charge carries a maximum of 10 years in prison and the same financial penalties. Valerio is scheduled to be sentenced on October 28.

The investigation was conducted by agents from the Department of Homeland Security, the Department of Labor’s Office of Inspector General, and the Social Security Administration’s Office of the Inspector General.

Phil Stilton Latest posts

Phil Stilton is the Editor and Publisher of Shore News Network, an independent digital newsroom providing original reporting on New Jersey, national news, government, public policy, public safety, courts, and community affairs.

As founder of the publication, Stilton leads editorial strategy, investigative reporting, and daily newsroom operations while overseeing coverage that reaches millions of readers annually.

With extensive experience covering municipal government, county government, state legislatures, elections, law enforcement, emergency management, and public records, Stilton specializes in translating complex government actions into clear, factual reporting. His work frequently relies on primary source documents, including court filings, legislation, public meeting records, election finance disclosures, government databases, police reports, and Freedom of Information and Open Public Records Act (OPRA) requests. He has reported extensively on local government accountability, taxpayer spending, campaign finance, public corruption investigations, infrastructure, public safety, and the policies affecting New Jersey residents.

Under Stilton's editorial leadership, Shore News Network has grown into one of New Jersey's largest independent digital news organizations, publishing thousands of original news articles each year while providing breaking news coverage, investigative reporting, and analysis across state and local government. The publication's reporting is routinely sourced from official government agencies, public officials, court records, and firsthand documentation, with a commitment to transparency, attribution, corrections when warranted, and clearly distinguishing factual reporting from opinion.

Stilton's journalism follows established newsroom standards emphasizing accuracy, verification, fairness, and accountability. Every effort is made to verify information through official records and multiple reliable sources before publication. His reporting is intended to provide readers with timely, well-documented information that helps them understand the issues affecting their communities, while maintaining editorial independence from political parties, government agencies, advocacy organizations, and commercial interests.

Readers can submit story tips, corrections, public records, or media inquiries through the official Shore News Network website or its verified social media channels. Shore News Network welcomes corrections and updates when new information becomes available as part of its ongoing commitment to accurate and transparent journalism.