“The Paycheck Protection Program is a loan designed to provide a direct incentive for small businesses to keep their workers on the payroll.” This is the description you will find on the United States Small Business Administration website in the section dedicated to Coronavirus Relief Options. However, some business owners decided to take advantage of the COVID-19 stimulus by fraudulently using the funds to purchase high-end vehicles and making other unnecessary expenditures.
After a Florida man accessed the program to buy himself a shiny new Lamborghini Huracan worth $318,000, a similar story has emerged about someone from Texas. He too acquired a Lamborghini, but instead of opting for the naturally aspirated V10 supercar, he decided to go with a Lambo Urus. The high-performance SUV packing a twin-turbo V8 engine kicks off at over $222,000 in the United States for the 2021MY.
Gallery: Lamborghini Urus Pearl Capsule
He reportedly secured $1.6 million in PPP loans and used some of the funds to acquire a Rolex and a 2020 Ford F-350 truck. It goes without saying the man is now facing multiple charges, including for making false statements to a financial institution, wire fraud, bank fraud, and engaging in unlawful monetary transactions.
According to the Justice Department, the $1.6M loan also funded several real estate transactions rather than being used for what it was supposed to – payroll costs, rent, interest on mortgages, etc. It’s worth mentioning the PPP loans are forgivable provided the business owner retains the company’s employees and uses the money for eligible expenses. That obviously wasn’t the case here.
As if that wasn’t bad enough, the 29-year-old also spent thousands of dollars at strip clubs and night clubs in Houston and used some of the COVID relief funds for additional lavish personal purchases.