Atlanta star sentenced to 17 years for PPP loan fraud


Maurice Fayne, known as Arkansas Mo, defrauded more than $ 2 million at United Community Bank. He must pay more than $ 4 million in restitution.

Maurice fayne, also known as the Arkansas Mo, which once featured on Love and hip-hop: Atlanta, was sentenced to 17 years and six months in federal prison for paycheck protection program fraud.

According to The Atlanta Journal-Constitution, Fayne ran a multi-state program that defrauded more than 20 people over seven years. He told investors he was going to use their money to run a trucking business. However, according to investigators, Fayne used the money to fund his extravagant lifestyle.

His latest fraudulent act involved asking for a loan of $ 3.7 million for his trucking company, which he said had 107 employees and a monthly payroll of $ 1,490,200.

Maurice Fayne (above), who previously appeared in “Love and Hip Hop: Atlanta,” was sentenced to 17 and six months in federal prison for paycheck protection program fraud. (Photo: Instagram)

“Fayne planned to use the P3 program as a cover for his long-standing Ponzi scheme,” the acting US prosecutor said. Kurt Erskine Recount AJJ in a statement sent by email. “The funds provided by the program are serving as a lifeline for many businesses desperately trying to stay afloat during the pandemic, and sadly, its fraud has helped deplete those precious dollars. “

According to the federal government, Fayne used the loan money for improper purposes. He started a new business in Arkansas for $ 907,000 and spent $ 230,000 to pay associates, who helped him run his Ponzi scheme. He also spent $ 136,000 to lease a Rolls-Royce.

Investigators also found that Fayne spent $ 85,000 on personalized jewelry, $ 65,000 on cash withdrawals and $ 40,000 on overdue child support.

In addition to his lengthy sentence, Fayne was also ordered to pay $ 4,465,865.55 in restitution.

“This sentence should mean that the FBI and our federal partners will investigate anyone who diverts federal emergency aid intended for companies that need it to stay afloat,” Chris hacker, FBI Atlanta special agent, said AJJ. “We will not tolerate anyone driven by personal greed to pocket US tax dollars that should go to those in need.”

Gavel Money thgrio.com

(Photo: Adobe Stock)

As Previously reported, Arkansas Mo was featured on the show as the fiance of Karlie Redd.

Fayne got the loan under the name Flame Towing, his entrepreneurial business. He requested a loan of $ 3,725,500 to “retain workers and maintain payroll or make mortgage interest payments, lease payments, and utility payments, as specified in the Workforce Protection Program rule. pay checks ”.

He eventually received over $ 2,000,000 from United Community Bank.

The paycheck protection program was part of the Coronavirus Aid, Relief and Economic Security Act – or the CARES Act. It was created to help small businesses pay their employees and keep their business going during the coronavirus pandemic that has kept much of America in its grip.

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The post office Former ‘Love & Hip Hop: Atlanta’ Star Sentenced To 17 Years For PPP Loan Fraud appeared first on The Grio.

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