A man in Texas was arrested on charges of fraudulently obtaining more than $1.6 million in Check Protection Program loans intended to help covid-19.
Lee Price III, 29, spent the money on luxury goods, real estate and personal entertainment, according to the complaint revealed by judicial authorities, following his arrest, details Periódico Correo.
Price allegedly used the loan’s income not for payroll expenses, but for fancy personal purchases, such as spending the loan money on a Lamborghini Urus, a Rolex watch, and real estate transactions.
The subject was accused of making false statements to a financial institution, electronic fraud, bank fraud and participation in illegal monetary transactions.
This program provides loans to small businesses and organizations that qualify for two-year loans at a rate of one percent interest. Beneficiaries have to use income for payroll costs, mortgage interest, rentals, and utilities.
Besides, the guy would have spent thousands of dollars on strip clubs and other hubs in Houston. The complaint alleges that some of the money was earmarked to buy a 2020 Ford F-350 van.