Stephanie Hockridge faces sentencing after a June conspiracy conviction tied to pandemic relief loans.
FORT WORTH, Texas — Former Phoenix television anchor Stephanie Hockridge is scheduled to be sentenced Friday in federal court in Fort Worth after a jury convicted her in June of conspiracy to commit wire fraud in a scheme involving Paycheck Protection Program loans.
The hearing caps a case that drew regional and national attention because Hockridge helped run a loan processing startup during the pandemic. Prosecutors say the business, Blueacorn, steered and processed fraudulent applications while collecting large fees. Hockridge was acquitted on four separate wire fraud counts in June but faces up to 20 years on the conspiracy charge. The judge denied a request this week for a new trial. Her husband, Nathan Reis, has entered a plea in a related case and is scheduled to be sentenced in December, according to court filings.
Hockridge, who anchored at KNXV in Phoenix from 2011 to 2018, arrived at the federal courthouse Friday morning ahead of the scheduled start time as attorneys prepared arguments on prison time, fines and restitution. Defense filings asked for no prison or for a staggered sentence that would avoid overlapping incarceration with Reis because the couple has a young child. Prosecutors plan to argue that Hockridge helped create and use fabricated payroll records, altered bank statements and false tax documents to inflate loan amounts for clients and for entities connected to the couple. During trial, jurors heard about an application for a company with no employees and testimony that borrowers were coached on how to answer screening questions. “This defendant exploited a national emergency to personally profit,” a Justice Department official said after the jury verdict in June.
The Justice Department said Hockridge co-founded Blueacorn in April 2020 as a lender service provider for PPP loans. Investigators from the FBI, IRS criminal investigators and inspector general offices for the Small Business Administration and other agencies said the operation pushed tens of millions of dollars in fraudulent loans through partner banks. Internal communications introduced at trial and cited in congressional findings described a focus on speed and high-dollar applications. A House committee report reviewed by local investigators said partner lenders tied to the company processed nearly three times as many PPP loans in 2021 as three major banks combined. Prosecutors said borrowers were sometimes charged kickbacks that were tied to the loan amounts. The government has not publicly disclosed a final restitution figure for Hockridge. It remains unknown how much of the revenue tied to the scheme will be recovered through forfeiture or repayment orders in her case.
The case was brought in the Northern District of Texas, where several partner lenders were based. A grand jury indicted Hockridge and Reis in November 2024. In June, jurors convicted Hockridge of conspiracy and acquitted her on four wire fraud counts. Sentencing was first set for Oct. 10 and later moved to Nov. 21. Under federal guidelines, the ultimate term will depend on the loss amount the judge attributes to her conduct, any leadership role enhancements and other factors. Reis agreed in August to plead guilty to one conspiracy count in a related matter. He faces a statutory maximum of 20 years and potential restitution, with sentencing scheduled in December. The judge on Thursday rejected defense claims that prosecutors withheld materials and denied a motion seeking a new trial.
Blueacorn launched in Scottsdale during the rush of spring 2020 as Congress opened the PPP to keep workers on payrolls. The firm marketed a streamlined application pathway and built a network with nonbank lenders. According to records and testimony, the model emphasized volume and automation, and it produced significant fees when the Small Business Administration reimbursed lenders for approved loans. After most of the PPP loans were forgiven, Hockridge and Reis moved to Puerto Rico, according to reporting introduced at trial. Local coverage in Phoenix had tracked the company for years as lawmakers questioned weak controls across the PPP and the scale of suspected fraud nationally. The Justice Department says it has prosecuted hundreds of PPP cases while working to claw back cash, property and luxury items bought with relief funds.
Inside the Fort Worth courthouse Friday, the parties are expected to parse loss calculations, the number of victims and whether any enhancements for sophisticated means apply. Defense counsel is likely to highlight the acquittals on the substantive wire fraud counts and Hockridge’s lack of prior criminal history. Prosecutors are expected to focus on Blueacorn’s referral program and what they described as VIP level coaching that helped applicants craft answers that passed lender checks. The defense request for alternating sentences for the couple remains before the court, along with standard arguments on supervised release conditions and a proposed fine. A formal restitution order could be entered separately if the judge needs more time to settle exact amounts.
Outside court, a small group of onlookers filtered through security as morning rain threatened. Court officers moved reporters into overflow seating as the defense team arrived carrying binders and a laptop cart. Hockridge kept her gaze forward and did not respond to questions in the hallway. “The PPP saved real jobs in my neighborhood, and I hope the sentence recognizes that,” said Sarah Mendoza, 42, who said she owns a Phoenix catering company that used the program legitimately. A retired lender from Tarrant County, Mark Ellis, said the hearing felt like a final chapter for a chaotic program. “A lot of banks tried to do the right thing, but the speed created openings for bad applications,” Ellis said.
As of midday, the court had not announced a sentence. The hearing is expected to continue through the afternoon with a written judgment to follow. Reis is set for sentencing in December in the same courthouse. Any post-sentencing statements from the U.S. Attorney’s Office and the defense are expected after the judge rules Friday.
Author note: Last updated November 21, 2025.