Former Arizona news anchor’s trial starts in PPP loan fraud case

FORT WORTH, TX — Former business partners and customers are on the witness list for the wire fraud trial involving a former Valley newscaster.

Opening statements are scheduled for Thursday morning in the federal criminal trial against Stephanie Hockridge, who previously worked as an ABC15 news anchor from 2011 to 2018. The trial takes place in Fort Worth, Texas.

Hockridge and her husband, Nate Reis, founded Blueacorn, a financial tech company in Scottsdale, in 2020.

Prosecutors say the couple and their co-conspirators submitted fraudulent Paycheck Protection Program applications to obtain forgivable COVID-19 relief business loans.

“This is a case of greed pure and simple,” said Jason Lamm, a Valley defense attorney who’s worked on federal white collar crime cases. He’s not been involved in the Blueacorn case.

According to Blueacorn, the company facilitated the applications for $12 billion in Paycheck Protection Program loans. Company founders Stephanie Hockridge and her husband, Nate Reis reportedly walked away with $300 million.

“There is no question that they lived lavishly on the proceeds,” Lamm said.

The couple had relocated to Puerto Rico, and last November, they were indicted on one count of conspiracy and four counts of wire fraud. Both pleaded not guilty. They are being tried separately, and Hockridge is going first.

“It’s going to be really lean and mean trial, Lamm said. “There will be a few federal agents who discuss the evidence and how they pursue the investigation and perhaps, most significant, there will be several cooperating witnesses.”

Prosecution witnesses include another Blueacorn founder, James Flores.
Two brothers from Sedona are also scheduled to testify. The brothers already pleaded guilty to charges against them. They were accused of orking in conjunction with Blueacorn to process more than 100 million fraudulent PPP loans.

In court filings filed Wednesday, Hockridge’s attorneys said she took steps to detect and discourage suspicious applications. The defense attorneys also say Hockridge also acted “in good faith,” working to help borrowers she believed were eligible to secure the maximum loan amounts permitted.