Ex-TV news anchor Stephanie Hockridge convicted in massive scheme to fraudulently obtain COVID relief funds
Stephanie Hockridge, a former Phoenix news anchor-turned-fintech entrepreneur, has been convicted of conspiracy to commit wire fraud in a federal case involving hundreds of millions of dollars in COVID relief funds.
A jury in the Northern District of Texas found Hockridge guilty on one count of conspiracy to commit wire fraud. She was acquitted on four additional counts of wire fraud. Sentencing is scheduled for Oct. 10.
Hockridge's conviction was announced on Friday.
According to federal prosecutors and investigative reports, Hockridge and her husband, Nathan Reis, fraudulently obtained over $300,000 in Paycheck Protection Program (PPP) loans for themselves, including one application that falsely claimed he was a veteran and an African American.
The couple's Scottsdale-based fintech firm, Blueacorn, which they co-founded in 2020, processed over $12.5 billion in PPP loans — with somewhere between $250 million and $300 million going to the company's ownership, including Hockridge.
Blueacorn received over $1 billion in taxpayer-funded processing fees for facilitating PPP loans but spent less than 1% ($8.6 million) on fraud prevention and only $13.7 million on eligibility verification, according to a congressional investigation.
The PPP was an $800 billion federal loan initiative launched in 2020 to help small businesses keep workers employed during the COVID-19 pandemic.
It was part of a broader effort — including grants, tax credits and emergency loans — aimed at stabilizing the US economy and preventing mass business closures and layoffs.
Investigators alleged that the couple used the proceeds to enrich themselves personally.
Congress said it obtained a video created by Reis and Hockridge showing off large amounts of cash in a bar on Dec. 21, 2021. According to public records, Reis relocated to San Juan, Puerto Rico, which has no capital gains tax, following his work at Blueacorn.
An Oct. 8, 2021, video obtained by congressional staffers which was geolocated to San Juan showed Hockridge and Reis on the balcony of a luxury beachfront apartment.
According to a congressional report, Blueacorn routinely failed to properly vet applicants and charged illegal 'success fees' to borrowers — violating Small Business Administration rules.
The congressional report detailed how Blueacorn's leadership instructed staff to prioritize speed over accuracy.
Internal messages showed reviewers were told to 'push through' questionable applications, ignore red flags, and skip identity checks unless fraud was 'extremely obvious.' Some staff processed hundreds of loans with no training — sometimes within 30 seconds each.
The subcommittee also uncovered the existence of a 'VIPPP' program that allowed high-dollar clients to bypass standard review protocols. Founders dismissed smaller loan applicants with phrases like 'delete them,' 'who f–king cares' and 'they go elsewhere.'
Hockridge, 42, was once a familiar face in Arizona households. She spent seven years as an anchor at KNXV-TV, the ABC affiliate in Phoenix, and had previously worked as a reporter for CBS News Radio in London.
She was nominated for an Emmy and named 'Favorite Newscaster' by Arizona Foothills Magazine.
Reis is scheduled to stand trial in August 2025 on related charges. Prosecutors allege he played a lead role in directing the company's operations and handling its financial distributions.
Hockridge's conviction marks one of the highest-profile PPP fraud cases to date involving a public figure.
Fraud related to COVID-19 relief programs was unprecedented in US history, with losses estimated in the hundreds of billions — possibly up to $1 trillion.
The PPP, Economic Injury Disaster Loans and unemployment insurance programs were especially vulnerable — with watchdogs reporting widespread misuse, insider abuse and systemic failures in fraud prevention.
The Post has sought comment from Hockridge and Reis.
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