Disbarred US attorney pleads guilty to charges of fraud

Following the sentencing hearing for the original wire fraud case, prosecutors were alerted that Baker had lied to the court about her employment status.  The investigation revealed that she had also lied to government agencies to obtain pandemic relief loans to which she was not entitled.  In the plea agreement she admits that between March of 2020 and August of 2021, Baker sought to obtain $265,000 in Paycheck Protection Program (PPP) Funds and Economic Injury Disaster Loans (EIDL).  In the applications for the programs Baker falsely claimed that she would use PPP funds to meet payroll expenses for her business.  In fact, Baker had no employees and she used $80,000 in PPP funds for her personal expenses.  Baker claimed in her EIDL applications that her business had been shut down due to COVID.  In fact, throughout that period Baker had worked as a bookkeeper for a Gig Harbor, Washington, investment firm earning as much as $145,000 during the relevant period. The Small Business Administration (SBA) did not pay out any funds to Baker based on her EIDL application.

In her plea agreement Baker admits that she lied on financial disclosure statements required by the court in her earlier criminal case.  In those statements Baker claimed to be out of work, when in fact she had substantial income working as a bookkeeper for the investment firm.  Despite that income Baker made no attempt to repay the victim in the wire fraud case and claimed to have no resources to pay restitution.

Darlene Piper was released from federal custody on March 16, 2023.

Wire fraud in connection with a presidentially declared major disaster or emergency is punishable by up to 30 years in prison and a $1 million fine. Making a false statement is punishable by up to five years in prison.