Federal prosecutors filed a superseding indictment on Wednesday against seven defendants in Guam’s high-profile Pandemic Assistance Fraud case — one that now includes new money laundering charges and dozens more counts of federal crimes.

The federal grand jury on Wednesday handed down a superseding indictment expanding the alleged conspiracy by seven people to defraud the U.S. Government and Guam residents out of millions in PUA funds.

According to federal prosecutors, Charissa M.F. Tenorio, Kathleen A. Peredo, Tina Sanchez, Winnie Jo Santos, Frankie C. Rosalin, Matthew Topasna, and Marlene Pinaula face a growing list of felony charges — including wire fraud, mail fraud, money laundering, and witness tampering. The case centers on what investigators describe as a coordinated inside job, carried out by former Guam Department of Labor employees and others who allegedly exploited the federal relief system meant to help islanders who lost their jobs during the COVID-19 pandemic.

Prosecutors allege with access to the agency’s HireGuam system, they created and approved false applications for themselves, friends, relatives, and others. Among the schemes detailed: fake furlough letters issued under Comfort Cuts and Grounds Maintenance — a landscaping business co-owned by Tenorio and Rosalin — falsely claiming employees were laid off, even as the company continued to operate and receive government contracts, including work at GDOL itself.

Topasna, owner of Haute Dog & Company, allegedly joined in — submitting fraudulent claims for people who never worked for him and collecting pua benefits in his own name while his business stayed open.

The superseding indictment goes further — adding 15 new counts of money laundering and a new conspiracy to commit money laundering charge. According to the indictment, Tenorio, Sanchez, Peredo and Santos repeatedly directed or accompanied PUA recipients to the Bank of Guam, where they laundered amounts ranging from $15,000 to $27,000 each. Those victims are identified only by initials — from “W.D.” to “J.B.P.” — in what prosecutors say was an elaborate pattern of funneling pandemic funds through accounts, cashing the checks, and splitting the proceeds.

Prosecutors allege that Sanchez and Santos, a supervisor at Comfort Cuts, helped carry out the financial transactions.

Meanwhile, Tenorio and Sanchez are accused of trying to silence witnesses in August 2024, allegedly harassing individuals to prevent cooperation with federal investigators.

The government is now seeking the forfeiture of more than $319,000, a major increase from the $12,000 sought in the original indictment. If convicted on all counts, Tenorio alone faces a potential maximum sentence exceeding 700 years in federal prison.

At the time of the alleged scheme, Peredo headed Guam’s PUA office, and Tenorio — the sister of Lieutenant Governor Joshua Tenorio — was co-owner of Comfort Cuts, one of the businesses named in the indictment. Her partner, Rosalin, and the lieutenant governor’s partner, Topasna, are also among those charged. All seven defendants have pleaded not guilty and are seeking to delay trial until after the 2026 primary election — in which Joshua Tenorio is a declared candidate for governor.

The four defendants facing the newest counts are scheduled to appear in federal court on November 13. Federal prosecutors say their investigation is ongoing — and the latest indictment signals this case is far from over.