President Joe Biden used Tuesday's State of the Union address to announce a crackdown on COVID-19 swindlers with a chief prosecutor for pandemic fraud.

Republicans and Democrats cheers as he said he was going after criminals who stole billions of dollars of aid.

Officials believe as much as $100 billion went missing and hundreds of investigations are already under way.

Biden made his announcement with a not at his predecessor, Donald Trump, who curbed the work of regulators or abolished them altogether.

'The previous administration not only ballooned the deficit with tax cuts for the very wealthy and corporations, it undermined the watchdogs whose job was to keep pandemic relief funds from being wasted,' said Biden.

He said that under his administration: 'The watch dogs are back.'

'We're going after the criminals who stole billions in relief money meant for small businesses and millions of Americans,' he continued.

'And tonight, I'm announcing that the Justice Department will name a chief prosecutor for pandemic fraud.'

President Joe Biden announced during his State of the Union address that the Department of Justice will appoint a chief prosecutor for pandemic fraud

President Joe Biden announced during his State of the Union address that the Department of Justice will appoint a chief prosecutor for pandemic fraud

Orange County prosecutors say Nguyen Social Services was charging up to $700 a pop to file false unemployment claims for people who did not qualify to receive Covid-19 relief money. Ten people have been charged in fraudulent unemployment claim schemes

Orange County prosecutors say Nguyen Social Services was charging up to $700 a pop to file false unemployment claims for people who did not qualify to receive Covid-19 relief money. Ten people have been charged in fraudulent unemployment claim schemes

The scam netted almost half a million dollars in cash, according to Orange County District Attorney Todd Spitzer.

The scam netted almost half a million dollars in cash, according to Orange County District Attorney Todd Spitzer.

In total, the US government splashed out some $6 trillion in emergency COVID-19 relief funds to prevent economic disaster, and the firehose of cash attracted a flock of eager fraudsters.

The suspects include a former NFL player and a reality TV star, and in the scores of cases brought so far, prosecutors allege that fraudulently obtained funds were spent on everything from Lamborghinis and Rolex watches to a contract murder.

Such is the scale of the problem that the Secret Service appointed Assistant Special Agent in Charge Roy Dotson of the Jacksonville field office as the National Pandemic Fraud Recovery Coordinator

'The Secret Service currently has more than 900 active criminal investigations into fraud specific to pandemic-related relief funds,' Dotson said in a statement at the time.

'That's a combination of pandemic benefits and all the other benefits programs too. Every state has been hit, some harder than others.'

Much of the fraud involved bogus applications for Paycheck Protection Program (PPP) funds intended to keep small businesses afloat, but scams involving unemployment insurance were also rife, investigators say.

The sprawling fraud took place over three separate rounds of relief funding during both the Trump and Biden administrations, and the current White House is quick to paint it as an issue that President Joe Biden 'inherited' from his predecessor.

In one case former New York Jets wide receiver Joshua Bellamy was charged with fraud and conspiracy for his involvement in a scheme to obtain $1.2 million in PPP funds.

After obtaining the loan for his company, businesslogr.com Drip Entertainment LLC, Bellamy admitted to using the funds on personal items, such as jewelry and a stay at the Seminole Hard Rock Hotel and Casino.

Former New York Jets wide receiver Joshua Bellamy was charged with fraud and conspiracy for his involvement in a scheme to obtain $1.2 million in PPP funds

Former New York Jets wide receiver Joshua Bellamy was charged with fraud and conspiracy for his involvement in a scheme to obtain $1.2 million in PPP funds

Reality TV star Maurice Fayne, who starred in Love & Hip Hop: Atlanta, was sentenced to more than 17 years in federal prison for charges stemming from a Ponzi scheme and PPP fraud

Reality TV star Maurice Fayne, who starred in Love & Hip Hop: Atlanta, was sentenced to more than 17 years in federal prison for charges stemming from a Ponzi scheme and PPP fraud

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Bellamy, 32, pleaded guilty last June to conspiracy to commit wire fraud, and was sentenced to 37 months in federal prison.

As well, reality TV star Maurice Fayne, who starred in Love & Hip Hop: Atlanta, was sentenced to more than 17 years in federal prison for charges stemming from a Ponzi scheme and PPP fraud.

Acting U.S. Attorney Kurt R. Erskine said last year that Fayne 'planned to use the PPP program as a cover for his long-running Ponzi scheme.'

One of the most high-profile unemployment fraud cases in California was discovered late last year at Nguyen Social Services, a company in Garden Grove that allegedly charged $700 to file false employment claims for people who did not qualify for relief under the CARES Act.

Prosecutors say the scheme ultimately costs taxpayers an estimated $11million. Huy Duc Nguyen and Mai Dacsom Nguyen, who set up Nguyen Social Services, and eight others were arrest in the scheme on charges including perjury and conspiracy to defraud another of property.

But local officials who busted the company have cautioned that the Nguyen scheme is hardly unique, with similar ones likely playing out across the US.

'This isn't just an Orange County problem. It isn't just a California problem,' Orange County District Attorney Todd Spitzer said.

'This is a breakdown of catastrophic proportions that has failed the American taxpayer.'

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Biden Says He Will Appoint A Chief Prosecutor For Pandemic Fraud

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