Birmingham, January 13, 2026
Sebastian Alexander Carrillo and his son, Sebastian Alexander Gideon, have been indicted in Birmingham on charges of loan fraud linked to the Paycheck Protection Program and tax evasion. The Alabama Attorney General announced that they fraudulently obtained nearly $40,000 in COVID-19 relief loans and committed various tax crimes from 2020 to 2022. The case highlights ongoing efforts to combat financial fraud within government programs.
Birmingham
A father and son from Birmingham have been indicted on charges of loan fraud related to the Paycheck Protection Program (PPP) and tax evasion, as announced by Alabama Attorney General Steve Marshall. Sebastian Alexander Carrillo, 54, and his son, Sebastian Alexander Gideon, 27, are accused of fraudulently obtaining nearly $40,000 in federal COVID-19 relief loans and committing various tax crimes between 2020 and 2022. Both men were served with indictments on January 12, 2026, and have since posted $20,000 bonds each for their release.
Allegations of Fraudulent PPP Loans and Tax Evasion
The indictments stem from a joint investigation conducted by the Alabama Attorney General’s office and the Alabama Department of Revenue. Evidence was presented to a Jefferson County grand jury on December 9, 2025, leading to the formal charges.
Charges Against Sebastian Alexander Carrillo
Sebastian Alexander Carrillo, identified as a former Birmingham Fire battalion chief and an employee of the Jefferson County Sheriff’s Office, faces a charge of first-degree theft by deception. This charge alleges that he fraudulently obtained $20,415 from the Paycheck Protection Program through false pretenses. Additionally, Carrillo is charged with three counts of attempting to evade or defeat income tax on unreported income for the tax years 2020, 2021, and 2022.
Charges Against Sebastian Alexander Gideon
His son, Sebastian Alexander Gideon, is charged with first-degree theft by deception for allegedly obtaining $18,123 in PPP funds under false pretenses. Gideon also faces two counts of subscribing to a false tax return for the tax years 2020 and 2021, and one count of attempting to evade or defeat income tax on unreported income for the tax year 2022.
The Paycheck Protection Program
The Paycheck Protection Program (PPP) was a nationwide initiative established by the U.S. federal government during the COVID-19 pandemic. Its primary goal was to provide forgivable loans to small businesses to help them retain their workforce during economic downturns caused by the pandemic. The program aimed to help businesses cover payroll costs, rent, mortgage interest, and utility payments. The loans were designed to be forgivable if specific criteria, primarily related to employee retention and use of funds, were met. The program was a critical component of the federal government’s economic relief efforts, distributing billions of dollars to businesses across the country.
Legal Consequences of Financial Crimes
In Alabama, the charges faced by the father and son carry significant legal penalties. First-degree theft by deception, which is classified as a Class B felony, can result in sentences ranging from two to 20 years in the Alabama Department of Corrections and fines up to $30,000.
Charges of attempting to evade or defeat any tax are considered unclassified felonies, punishable by up to five years in prison and a maximum fine of $100,000. Similarly, subscribing to a false tax return is also an unclassified felony, which can lead to up to three years in prison and a maximum fine of $100,000.
These prosecutions underscore the commitment of the Alabama Attorney General’s office to combat financial fraud and ensure accountability for individuals who allegedly exploit government programs and evade tax obligations. The Attorney General’s office has consistently pursued cases involving misuse of public funds and financial misconduct to maintain integrity within state and federal relief programs.
FAQ Section
Frequently Asked Questions About the Birmingham Indictment
- What are the primary charges against the Birmingham father and son?
- The primary charges are loan fraud related to the Paycheck Protection Program (PPP) and tax evasion.
- Who are the individuals indicted?
- The individuals indicted are Sebastian Alexander Carrillo, 54, and his son, Sebastian Alexander Gideon, 27.
- Who announced the indictments?
- The indictments were announced by Alabama Attorney General Steve Marshall.
- What amount of PPP loans are they accused of fraudulently obtaining?
- They are accused of fraudulently obtaining nearly $40,000 in PPP loans. Sebastian Alexander Carrillo is specifically accused of obtaining $20,415, and Sebastian Alexander Gideon is accused of obtaining $18,123.
- What tax years are involved in the tax evasion charges?
- The tax evasion charges cover the tax years 2020, 2021, and 2022 for Sebastian Alexander Carrillo, and 2020, 2021, and 2022 for Sebastian Alexander Gideon (subscribing to false tax returns for 2020 and 2021, and attempting to evade income tax for 2022).
- What are the potential penalties for these charges in Alabama?
- First-degree theft by deception (Class B felony) can result in two to 20 years in prison and fines up to $30,000. Attempting to evade or defeat any tax (unclassified felony) can lead to up to five years in prison and a maximum fine of $100,000. Subscribing to a false tax return (unclassified felony) can result in up to three years in prison and a maximum fine of $100,000.
Key Features of the Indictment
| Feature | Description | Scope |
|---|---|---|
| Individuals Indicted | Sebastian Alexander Carrillo (54) and Sebastian Alexander Gideon (27) | State-level (Alabama) |
| Primary Charges | Loan Fraud (Paycheck Protection Program) and Tax Evasion | State-level (Alabama prosecution of federal program fraud and state tax laws) |
| Prosecuting Authority | Alabama Attorney General Steve Marshall | State-level (Alabama) |
| Total Alleged PPP Fraud | Nearly $40,000 ($20,415 by Carrillo, $18,123 by Gideon) | State-level (Alabama) |
| Timeframe of Alleged Crimes | 2020-2022 | State-level (Alabama) |
| Key Charges for Carrillo | First-degree theft by deception, attempting to evade or defeat income tax (3 counts) | State-level (Alabama) |
| Key Charges for Gideon | First-degree theft by deception, subscribing to a false tax return (2 counts), attempting to evade or defeat income tax (1 count) | State-level (Alabama) |
| Investigation Agencies | Alabama Attorney General’s Office, Alabama Department of Revenue | State-level (Alabama) |
| Program Involved | Paycheck Protection Program (PPP) | Nationwide (Federal Program) |
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Author: STAFF HERE BIRMINGHAM WRITER
The BIRMINGHAM STAFF WRITER represents the experienced team at HEREBirmingham.com, your go-to source for actionable local news and information in Birmingham, Jefferson County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as the Sidewalk Film Festival, Sloss Music & Arts Festival, Magic City Classic, and civil rights commemorations. Our coverage extends to key organizations like the Birmingham Business Alliance and the Birmingham Civil Rights Institute, plus leading businesses in healthcare, finance, and manufacturing that power the local economy such as UAB Medicine, Regions Bank, and Encompass Health. As part of the broader HERE network, including HEREHuntsville.com, we provide comprehensive, credible insights into Alabama's dynamic landscape.
