Lori Veronica
on July 27, 2025
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#news Issa Asad has been sentenced to prison for his role in the 'Obama-phone' scheme in which he defrauded government programs - costing $100 million
#Obama
The 51-year-old CEO of Q Link Wireless, a Florida-based telecommunications company giving services as part of the Obama Phones" was sentenced for his role in defrauding government programs.
The fraud involved two main schemes from 2020 to 2021
Q Link, under Asad's direction, submitted false reimbursement claims to the FCC, kept money that wasn't meant for him, provided misleading customer information, and lied to the FCC about compliance.
Tactics included making up cellphone activity, using coercive automated scripts to threaten benefit cancellation and force customer engagement, and submitting false records during FCC investigations to hide the fraud.
Asad admitted to diverting over $50 million in Lifeline funds to bank accounts controlled by him and his family in Jordan. This caused a $109,637,057 loss to the FCC.
During the C*VID-19 pandemic in 2021, Asad lied on behalf of Q Link to get PPP loans.
He then allegedly engaged in illegal transactions with about $389,000 of PPP money, spending it on personal items like a Land Rover payment, jewelry, personal credit card bills, and property taxes.
Asad and Q Link pleaded guilty back in October of 2024, to charges including conspiracy to commit wire fraud, stealing government money, defrauding the United States, and money laundering.
Penalties imposed at the recent sentencing are:
Issa Asad was sentenced to 60 months (5 years) in federal prison, a forfeiture judgment of $17,484,118, and restitution in the amount of of $1,758,339.25 to the U.S. Small Business Administration (SBA).
A forfeiture money judgment of over $109 million.
Asad and Q Link are jointly responsible for $109,637,057 in restitution to the FCC.
Over $128 million in fines, forfeitures, and restitution.
Statements from officials included:
U.S. Attorney Hayden P. O’Byrne:
"Issa Asad and his company, Q Link Wireless, deliberately scammed two vital government programs aimed at supporting people and companies in economic distress, wrongfully diverting hundreds of millions of dollars for their personal benefit and gain, all while impeding the government's capacity to assist those who genuinely required the help."
IRS-CI Executive Special Agent in Charge Kareem Carter: "This was a brazen scheme of staggering proportions. Mr. Asad prioritized his own greed, stealing $100 million from taxpayers."
FCC-OIG Inspector General Fara Damelin: "Q Link and Asad stole funds from a key FCC program meant to serve low-income households. This sentencing sends an important message that egregious criminal misconduct against FCC programs will not go unanswered."
USPIS Acting Inspector in Charge Bladismir Rojo: "Issa Asad used the cover of a legitimate business to line his pockets at the expense of taxpayers and vulnerable communities."
The phones have cost American taxpayers $12.5 Billion over the last four years.
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