Famous Figures Who Got Charged with PPP Loan Fraud
Source: Paul Archuleta / Getty
The Paycheck Protection Program was meant to help small businesses survive the pandemic. Instead, some well-known names used it to cash in.
And a lot of them got caught.
When COVID-19 shut the country down, the U.S. government launched the PPP to keep workers paid and businesses afloat. But the fast rollout came with little oversight.
That gap created an opening. Scammers jumped in. Among them? Some famous faces who saw an opportunity to cheat the system.
Federal investigators tracked down hundreds of fraudsters. Many quietly settled. Others made headlines.
In addition to the list below, high-profile musicians Lil Wayne and Chris Brown did find themselves wrapped in scrutiny surrounding the appropriation of their COVID-19 relief funds. Though they certainly weren't the only ones. Lil Wayne
Lil Wayne's company, Young Money Touring Inc., received an $8.9 million SVOG grant intended to support live entertainment businesses impacted by the pandemic. Reports indicate that the funds were used for various personal expenses, including: Over $1.3 million on private jet flights
More than $460,000 on designer clothing
Approximately $2 million to settle a debt with his former manager
Nearly $88,000 billed for a canceled New Year's Eve performance
While these expenditures have raised questions about the appropriate use of relief funds, there have been no formal charges filed against Lil Wayne regarding PPP loan fraud. Chris Brown
Chris Brown's touring company, CBE Touring, reportedly secured a $10 million SVOG grant. Allegations suggest that Brown personally received $5.1 million of this amount and spent nearly $80,000 on a lavish birthday party, which included expenses for models, an LED dance floor, and other luxury items.
Despite public criticism over the use of these funds, Chris Brown has not been charged with any crimes related to PPP loan fraud.
From reality TV stars to pro athletes and social media influencers, these high-profile figures now face criminal charges, massive fines, or even prison time.
Their cases raise big questions: How did they slip through? Who helped them? And what comes next?
Here's a breakdown of the most notorious celebrity PPP fraud cases.
And how each one unraveled.
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Famous Figures Who Got Charged with PPP Loan Fraud was originally published on newstalkcleveland.com
Reality TV stars from Chrisley Knows Best , convicted in 2022 of defrauding banks out of over $30 million and evading taxes.
A pastor from Raleigh, North Carolina, Mitchell Summerfield pleaded guilty to conspiracy to commit bank and wire fraud after securing over $400,000 in fraudulent PPP loans.
Known from Love & Hip Hop: Atlanta , sentenced to over 17 years for bank fraud after misusing over $2 million in PPP funds on luxury items and a Ponzi scheme.
Former NFL player, sentenced to over three years in prison for illegally receiving over $1 million in COVID-19 relief money.
Member of the R&B group Pretty Ricky, sentenced to 20 months in prison for his role in a $24 million COVID-19 relief fraud scheme.
Former Olympic speed skater, convicted of fraudulently applying for $10 million in PPP loans for a film production company with no employees.
Former lawyer, served time for PPP loan fraud after falsely claiming expenses for a nonprofit organization.
Miami man, charged with fraudulently obtaining $3.9 million in PPP loans and using the funds to buy luxury items.
Houston man, sentenced to over nine years in prison for obtaining over $1.6 million in PPP loans and spending on personal expenses.
Leader of a Los Angeles-based fraud ring, sentenced to 17 years for stealing $18 million in PPP funds.
Member of the same fraud ring as Ayvazyan, sentenced to over 10 years for her role in the scheme.
Also part of the Los Angeles fraud ring, sentenced to six years in prison for PPP loan fraud.
Former TV news anchor indicted alongside her husband for allegedly submitting false PPP loan applications, obtaining $300,000 personally, and profiting nearly $300 million through their company, Blueacorn.
Charlotte City Council member indicted for fraudulently obtaining over $124,000 in federal COVID-19 relief funds through the PPP and EIDL programs.
Former Assistant Atlanta City Attorney and police officer charged with conspiracy to commit wire fraud and money laundering after allegedly obtaining over $7 million in PPP loan funds.
Former Kansas state legislator sentenced to 27 months in federal prison for fraudulently obtaining COVID-19 relief funds through the PPP and EIDL programs.
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