Atlanta star accused of fraud after securing $ 2 million PPP pandemic loan – The Hollywood Reporter
Love and hip-hop: Atlanta Star Maurice Fayne, aka Arkansas Mo, was charged with federal bank fraud on Wednesday, according to the US Department of Justice.
Fayne, 37, of Dacula, Ga., Who appeared in nine episodes of Love and hip-hop: Atlanta during the eighth season, got a paycheck protection program loan on behalf of a trucking company, but reportedly spent the funds on himself. Fayne made his first court appearance on Wednesday.
The accusation stems from Fayne getting the PPP loan for a Georgian company he called Flame Trucking. The former reality TV star was able to secure a loan of more than $ 2 million, claiming it was for his payroll. However, he reportedly used more than $ 1.5 million for jewelry, including a Rolex presidential watch, diamond bracelet, and 5.73-carat diamond ring for himself. Fayne is also accused of using federal funds to gamble $ 40,000 in child support, authorities said.
The recently adopted PPP program is intended to help employees and small businesses hit by the coronavirus pandemic.
“The accused allegedly stole money intended to help hard-hit employees and businesses during these difficult times, and instead greedily used this money to finance his lavish purchases of jewelry and other personal items,” the prosecutor said. Deputy General Brian A. Benczkowski in a statement. . “The department will remain steadfast in its efforts to root out and prosecute fraud against the Paycheck Protection Program.”
Fayne denied the allegations during his first interview with federal agents, but after a search of his home, they seized around $ 80,000 in cash, including $ 9,400 that Fayne had in his pockets, and the jewelry he allegedly bought. with PPP funds, according to the DOJ. . Officers also discovered a 2019 Rolls-Royce Wraith, which still had a temporary dealership tag. They also seized about $ 503,000 in PPP funds from three bank accounts owned or controlled by Fayne, authorities said.