Feds: Westerville woman faked pizza shop affiliation in $2.8 million pandemic relief scheme

A Westerville woman who falsely claimed ties with a popular pizza chain in order to orchestrate financial fraud was sentenced to five years in federal prison earlier today.

According to federal prosecutors, 63 year-old Lorie Schaefer, from Westerville, obtained $1.9 million in fraudulent pandemic relief funding, and helped an associate obtain more than $980,000 in fraudulent relief funds as well.

Schaefer fraudulently claimed to be associated with The Flying Pizza, an Ohio chain with restaurants in Dayton, Centerville and Fairborn.

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The business was later notified that a Paycheck Protection Plan loan was filed in their name for $1.9 million. The Flying Pizza denied filing it.

In her filings, Schaefer claimed to have 98 employees, and claimed the business was established in 2021 (after setting up a bank account for it in late 2020), although the Flying Pizza has existed since 1984. 

Federal prosecutors say Schaefer spent  $26,000 on liposuction,  $10,000 on a “newborn baby gift,” and over $900,000 to buy and renovate a house in Westerville. She also made purchases at Wayfair, Lamps Plus, Kroger, KFC, Burger King, Arby’s, McDonald’s and Olive Garden.

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