May 14, 2021

By Bob Coleman
Editor, Fraud Friday

Fraud Friday — Do PPP Fraudsters Go to Jail?

Yes. And a lot of it.

David Hines gets more than six years in federal prison for fraudulently obtaining $3.9 million in PPP loans.

Mr. Hines submitted multiple PPP applications to a PPP-participating lender, claiming to have had dozens of employees and millions of dollars in monthly payroll.

In addition to submitting false and fraudulent IRS forms to support the applications, Hines also assisted other individuals in obtaining fraudulent PPP loans.

And, of course, David bought the requisite Lamborghini Huracan for $318,000 — the 2020 model.

Check out the list of government agencies assisting in Mr. Hines’ prosecution:

  • Justice Department
  • US Attorney, Southern District of Florida
  • FDIC
  • U.S. Postal Services
  • SBA
  • IRS
  • Federal Reserve
  • CFPB

Recap:
To date, Justice has persecuted more than 100 defendants and has seized more than $60 million in cash, real estate and “luxury” items.