RALEIGH COUNTY, W.Va. –A Raleigh County man received his sentence Friday for theft of government money obtained through the Coronavirus Aid, Relief, and Economic Security Act.
Ross Jay Bailey, 50, of Cool Ridge was sentenced to five years of federal probation, which includes two years on home detention and was ordered to pay $1,596,301.46 in restitution.
According to a release from U.S. Attorney Moore Capito, Bailey obtained a $2 million loan from the CARES Act for his business and instead converted at least $1.4 million of the proceeds for his personal enrichment.
Court documents state that on or about June 30, 2020, Bailey obtained an Economic Injury Disaster Loan of $150,000 on behalf of his business R&R Delivery Service Inc.
In August 2021, Bailey submitted an application to increase the amount to $500,000, which was successful. He did the same thing in February 2022, which brought it to the $2 million maximum.
Bailey did admit in court that he fraudulently used the money he obtained through the EIDL program for purposes he knew were expressly forbidden.
He had transferred the $1.4 million to his personal bank account between March 1, 2022, and March 31, 2022, and converted those funds into purchases of stock and cryptocurrency.
Bailey’s brother, Ryan Keith Bailey, 47, of Beaver, was sentenced on September 16, 2025, to one year and two months in prison after he pled guilty to theft of government money. He was also sentenced to three years of supervised release and ordered to pay $2,134,900 in restitution.
He also obtained $2,166,517.40 in loans through the CARES Act for his business and again converted the money for his own personal use.
Mark William Bailey, 53, a cousin to Ross and Ryan, pleaded guilty to theft of government money on September 8, 2023. He admitted to stealing approximately $451,237.51 in SBA loans he obtained through the CARES Act. He was later sentenced to five years federal probation, including one year on home detention.
“He didn’t just break the law – he exploited a moment of national crisis for personal profit,” Capito said. “While families were struggling to survive and small businesses were fighting to keep their doors open, these three treated relief funds like a personal bank account. Today’s sentence makes clear that greed dressed up as opportunity will be met with accountability. We will find those who steal from the public trust, and we will hold them to answer. No matter how they tried try to hide it, and no matter how many of them there are.”
The Baily family members are among more than 30 individuals convicted in the Southern District of West Virginia involving the theft or fraudulent use of COVID-19 relief funds.