Former Sacramento Councilman Pleads Guilty to Fraud and Money Laundering, Faces Up to 59 Years in Prison
Shahriar 'Sean' Loloee, a former Sacramento city councilman, has pleaded guilty to multiple charges including fraud and money laundering. Loloee admitted to obstructing Labor Department investigations and committing tax fraud related to his Viva Supermarket stores. Additionally, he fraudulently obtained over $1 million in COVID relief funds. Loloee faces a maximum sentence of 59 years in federal prison for the seven charges against him, which include conspiracy to obstruct agency proceedings, conspiracy to defraud the IRS, filing false tax returns, money laundering, and wire fraud. As part of his plea agreement, Loloee will repay $1.2 million to the U.S. Small Business Administration and surrender $1 million in personal assets. He is also required to hand over personnel files containing counterfeit immigration documents seized during a federal raid in October 2023. Despite the charges, Loloee defended his labor practices and denied employing undocumented workers.