Lamborghini love in Covid-19 times: A man in the US took nearly 4 million dollars in Federal loans to help struggling businesses - the reason was noble, but intentions were not! He spent the amount on luxury items including a Lamborghini sports car. The man has been arrested and charged in a Miami Federal Court, the US Justice Department (DOJ) announced, according to a report in The Washington Times.
David T Hines of Miami, Florida received nearly $4 million in federal loans for bailing out businesses during coronavirus pandemic but he spent the amount on luxury items, including a a new Lamborghini Huracán sports car.
Hines was subsequently arrested and charged with 3 felonies -- 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 a report published in the DOJ website. 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,” the report said.
After his application, the agency approved a disbursal of nearly $3.9 million in loans. Upon receiving the enormous amount, the complaint says that Hines did not make payments to his company’s payroll of 70 employees. He made purchases at luxury retailers and resorts in Miami Beach and within days bought the new Lamborghini, which he registered jointly in his name and in the name of one of his companies.
The loan that Hines received was from Paycheck Protection Program (PPP) that represents billions of dollars in forgivable small business loans for Americans struggling because of the COVID-19 pandemic. According to the information available, it’s a part of the Coronavirus Aid, Relief and Economic Security Act, which became federal law in March.