Latoya Stanley, 38, and Johnny Philus, 33, had been arrested Wednesday and charged in Miami federal courtroom with committing wire fraud and making false statements. They had been each launched on $100,000 bond. Lawyer info was not available.
In keeping with the legal grievance, Stanley and Philus allegedly utilized for 4 fraudulent loans by means of the federal Paycheck Safety Program (PPP) and Financial Harm Catastrophe Mortgage (EIDL) program. The primary two functions had been reportedly filed in Could and June 2020 for Dream Gurl Magnificence Provide and Magnificence Auto Boutique at 1275 NE 118th Road.
Stanley and Philus purportedly claimed the sweetness retailer had 18 staff with $200,000 value of stock, and the auto enterprise had 29 staff and leased a fleet of as much as 50 autos value $1 million. Nonetheless, data present that each companies are inactive. The loans had been accepted and funded; Dream Gurl Magnificence Provide acquired $302,860 to cowl payroll bills, and Magnificence Auto Boutique acquired a mortgage of $538,325, based on the grievance.
The grievance additional alleges that the pair sought loans from the EIDL program for 2 non-existent farms in North Miami. In keeping with the grievance, Stanley claimed to run a farm that generated $800,000 in earnings and employed 5 folks at 1275 NE 118th Road, whereas Philus claimed he operated a farm that generated $400,000 in earnings and employed ten folks on a small residential lot at 535 NW 127th Road. These loans had been additionally accepted and funded, sources point out. Stanley acquired $137,500 and Philus acquired $150,000 from the EIDL program to cowl business-related bills. In whole, the pair allegedly acquired an estimated $1.1 million in fraudulent loans.
The PPP and EIDL are federal COVID-19 reduction applications licensed beneath the Coronavirus Help, Reduction, and Financial Safety (CARES) Act that was handed by Congress in March 2020. The loans, that are assured by the Small Enterprise Administration (SBA), are supposed to present emergency monetary help to small American companies fighting the financial results of the coronavirus pandemic. Congress licensed over $650 billion in loans for small companies to cowl worker payrolls, lease and utilities, and curiosity on mortgages and different loans issued by banks.
These applications have been exploited by sure functions, authorities mentioned. For instance, final month a Miami man allegedly obtained $4 million in PPP loans for his firm and spent a portion of the money on a Lamborghini and other personal expenses that aren’t licensed beneath the phrases of the mortgage.
Any particular person suspected of committing fraud in South Florida associated to federal mortgage applications ought to instantly seek the advice of an experienced fraud defense attorney. A very good legal professional can study the proof, conduct an unbiased investigation, and decide the most effective plan of action to attenuate the potential penalties.
Miami Fraud Protection Lawyer
Are you accused of committing fraud in South Florida involving federal COVID-19 reduction applications? Contact Brian Silber, P.A. to arrange a free preliminary session with one in all Miami’s most experienced fraud defense attorneys.