Lee Price III, a Houston businessman, was sentenced to over nine years in prison after pleading guilty to wire fraud and money laundering charges.
A Houston businessman laundered more than $1.6 million from the government’s coronavirus pandemic Paycheck Protection Program (PPP).
The PPP loan is guaranteed by the Small Business Administration under the Coronavirus Aid, Relief, and Economic Security (CARES) Act.
The US government launched the program to provide emergency financial assistance to small businesses due to the COVID-19 pandemic.
The businessman, identified as Lee Price III, took advantage of it and submitted false documents to launder millions of dollars.
A COVID storyline almost as old as COVID itselfhttps://t.co/UcvasBgfNW pic.twitter.com/7OS1cwTc0S
— Peter Bonilla (@pebonilla) November 30, 2021
Image: Who Is Lee Price III? Jail Sentence
Lee Price III is a 30-year-old businessman from Houston, Texas.
He is charged with submitting fake PPP applications and documents to banks and other lenders to get the loan money.
He pleaded guilty to making false statements to a financial institution, wire fraud, and bank fraud. Also, he has been charged for engaging in unlawful monetary transactions.
The court sentenced him to 9 years and 12 months (approx. 110 months) in prison, reported ABC 7.
A Texas man who fraudulently received $1.6 million in COVID relief money, bought a $200,000 Lamborghini, a Rolex, and a Ford F-350 truck. Lee Price III, 30, of Houston has been sentenced to over nine years in prison. Officials said more than $700,000 was recovered.
— Hoodlum ?? (@NotHoodlum) November 30, 2021
Lee Price III Arrested: Details Charges Over Money Laundering
Lee Price III, taking advantage of the CARES Act, submitted fake PPP applications to banks on behalf of three companies: 713 Construction LLC, Price Enterprises Holdings LLC, and Price Logistic Services LLC.
He reportedly stated that he had to pay numerous employees in his bank statements. He sought over $2.6 million and received around $1.6 million, as per CBS News.
Price then used the money for his personal expenses and made some lavish purchases. He bought a Lamborghini Urus, a Ford F-350 truck, and a Rolex watch.
He also used the money to pay off a debt on a residential property. Not just that but he spent thousands of dollars on strip clubs and nightclubs.
The authorities later discovered that the business had no employees and no payroll expenses. There was also no record of the business event hiring anyone.
As of now, they have retrieved more than $700,000 of the money he falsely obtained.