New Lenox gun shop owner charged with pandemic fraud

The owner of a New Lenox gun shop who also ran in a Republican congressional primary last year has been charged with pandemic fraud, state benefits fraud, money laundering and failing to report business income to the state.

About 6:10 p.m. on Monday, Jeffery Regnier, 45, of Manhattan, was booked into the Will County jail on charges of theft by deception, loan fraud, theft, money laundering, state benefits fraud and wire fraud and filing a fraudulent Illinois sales and use tax return.

Reginer’s co-defendant, Greta Keranen, 49, of Manhattan, was also booked into jail on charges of theft by deception, loan fraud, theft and and wire fraud.

The charges were the result of an investigation by the U.S. Secret Service.

Regnier is the owner of Kee Firearms and Training, 21660 S. Moni Drive, New Lenox.

Regnier also ran on June 28, 2022 in the Republican primary for Illinois First Congressional District but lost to Eric Carlson, according to the New York Times.

In a video published on the website for WTTW in Chicago, Reginier said he was running for office because as a small business owner, he was frustrated with the direction of the country.

“Since the Democrats took control, we are entering a super recession. Inflation is at a 40-year high, prices are rising, from the cost of goods, food and fuel,” Regnier said.

A criminal complaint filed in court accused Regnier and Keranen of fraudulently receiving an Economic Injury Disaster Loan from the Small Business Administration in the amount of $150,000.

The loan was fraudulently obtained by the two after Keranen allegedly submitted an application for the loan by representing the her business, Kee Construction, had gross revenues of $9.5 million and the cost of goods sold was $8.5 million, which she knew to be false, according the complaint. Illinois business records list Keranen as the agent and manager of the business.

Regnier was accused of attempting to secure the same type of loan by making a false statement on a loan application by claiming his business, Kee Firearms and Training, had gross revenues of $3 million, which he knew was false, the complaint alleged.

Both Regnier and Keranen were charged with fraudulently receiving $47,199 from a Paycheck Protection Program loan after Keranen falsely resented on a loan application that the money from the loan would be spent on payroll, lease payments and utilities for Kee Construction.

Regnier was accused of fraudulently receiving pandemic unemployment assistance benefits by claiming to the Illinois Department of Employment Security that he did not work for Kee Construction for a week in June 2020, which was false because he received $25,638 from the company during that time, the complaint alleged.

Regnier was charged with fraudulently receiving unemployment benefits from Illinois in the amount of $2,538 on June 2, 2020, $12,090 on Aug. 6, 2020 and $28,908 between Aug. 8, 2020 and Jan. 8, 2021.

The complaint alleged Regnier falsely claimed to the Illinois Department of Employment Security on Aug. 6, 2020 that ht was “unable to work due to the [COVID-19] pandemic.”

Regnier was further charged with failing to report business income to the Illinois Department of Revenue.

Regnier and Keranen remain in the Will County jail as of Tuesday morning on a $1 million bond each.