Texas business person invested coronavirus relief financing on Lamborghini, strip clubs, feds say

Texas business person invested coronavirus relief financing on Lamborghini, strip clubs, feds say

A Texas business person who is implicated of securing $1.6 million in coronavirus relief funds and spending it on a Lamborghini, a Rolex and strip clubs has actually been charged with fraud.

The male, Lee Price III, 29, was anticipated to appear in U.S. District Court in Houston on charges of wire fraud, bank fraud, making incorrect declarations to a banks and other crimes, the U.S. chief law officer’s workplace and the U.S. lawyer’s workplace in Houston said in a joint statement Tuesday.

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Cost is alleged to have sent a fraudulent loan application for the Income Defense Program, a federal loan program that has actually set aside more than $600 billion to help small companies struggling during the coronavirus pandemic

Federal data reveal that millions of dollars in income security loans have actually also gone to celebs like Kanye West and the artist Jeff Koons, the Church of Scientology and Joe Farrell, a billionaire residential or commercial property designer.

A Florida male, David T. Hines, was accused last month of getting $4 million in income protection funding and purchasing a 2020 Lamborghini Huracán, valued at $318,000

Federal authorities stated Price got 2 loans– one for $900,000 and another for $700,000– for 2 companies that he said had “various” staff members and “substantial” payroll expenses, according to his applications.

The businesses had neither, authorities said, and Rate is alleged to have actually spent the money on a Lamborghini Urus, a Rolex watch and a 2020 Ford F-350 pickup. He is likewise implicated of spending thousands of dollars at strip clubs and bars in Houston, the statement said.

It wasn’t clear whether Price went into a plea Tuesday. The Federal Public Protector in Houston, which is representing Cost, didn’t right away respond to a request for comment.

Tim Stelloh

Tim Stelloh is a press reporter for NBC News, based in California.

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