After being accused of filing fraudulent loan applications to obtain $2.5 million from COVID-19 relief funds, a Florida man was arrested for wire fraud.
Vinicius Santana, 34, a former resident of Massachusetts, applied for four Paycheck Protection Program loans to his paint company through the Coronavirus Aid, Relief and Economic Security Act (CARES) Act, 2020, according the U.S. Justice Department.
The 2020 federal law, the CARES Act (a 2020 federal law), was enacted to address the economic impact of COVID-19. It offered loans to small businesses that were in financial trouble.
Santana submitted three initial applications, which were rejected. However, Santana submitted a fourth application, in which he claimed that Complete Home Care, LLC had 154 employees with a $1million average monthly payroll. The DOJ accepted Santana's fourth attempt. Santana is accused in using COVID-19 relief funds for cars and cryptocurrency investments.
Santana, now in Boca Raton (Fla.), was arrested Monday at Miami International Airport. He appeared in federal court in Miami Tuesday.
The DOJ stated in a statement that wire fraud could result in up to 20 years imprisonment, three years of supervision, and a fine in excess of $250,000 or twice the gross profit or loss of the scheme.
