A Florida male allegedly ripped off virtually $4 million from the United States government's coronavirus relief financial loan system - and applied some of the income on a manufacturer-new Lamborghini and other luxurious things, authorities explained Monday.
The New York Times reported that Hines claimed that he operated four companies with dozens of employees with about $4 million in monthly expenses. O'Sullivan in the Southern District of Florida, Hines attempted to secure some $13.5 million in Paycheck Protection Program loans created to help small businesses pay workers on their payroll amid the coronavirus pandemic.
"The complaint alleges that Hines caused to be submitted fraudulent loan applications that made numerous false and misleading statements about the companies' respective payroll expenses".More news: Reece Topley and David Willey in England squad for ODIs v Ireland
"Businesses must use PPP loan proceeds for payroll costs, interest on mortgages, rent and utilities", according to the DOJ. Some of the funds from the act were meant to provide emergency financial assistance to millions of Americans who have been negatively impacted by the economic effects of the COVID-19 pandemic.
Hines, 29, who hails from Miami was charged with one count of bank fraud, one count of making false statements to a financial institution and one count of engaging in transactions in unlawful proceeds, according to the statement. But prosecutors say the Florida Department of Revenue had no record of wages paid to any of the companies from 2015 through the first quarter of 2020.
When the bank froze Hines' companies' accounts on June 24, and they showed a harmony of $3,463,162 but no repayments on the financial loans. Just a few days after getting the money, he bought the Lamborghini for $318,000.More news: United Kingdom tabloid's lawyers assail Johnny Depp as libel trial nears end
He also expended thousands of pounds on dating websites, jewellery and apparel and stays at posh lodges in Miami Seaside, the grievance alleges.
In the past few weeks, Florida has become one of the hotspots for U.S. COVID-19 cases and recently passed NY for having the second-most confirmed cases in the country, behind California. His arraignment is scheduled for October 14.
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