Thursday, Oct 1st 2020 3:40 AM

Market Digest Nigeria


Man arrested for using USA’s Covid-19 loans to buy himself a new Lamborghini worth ₦123m

David T. Hines

The loans approved by the Trump administration and Congress were meant for Hines’ supposedly ailing South Florida moving business.

David T. Hines

An American businessman, David T. Hines has been arrested after he diverted the $4 million (₦1.5billion) COVID-19 relief loans he got and bought an expensive Lamborghini Huracan Evo.

The Italian-made flashy car purchased by Hines in May for $318,497 (₦123million) was not on the list of permissible expenses under a Small Business Administration loan program meant to protect employees and cover other legitimate costs like rent during the coronavirus pandemic.

After being arrested over the weekend, it was gathered that he has also spent thousands of dollars on dating websites, jewelry and clothes, along with stays at high-end hotels such as the Fontainebleau and Setai on Miami Beach.

The SBA’s Payroll Protection Program totalling nearly $650 billion was approved by Congress as part of the CARES Act after the coronavirus struck the nation in March.

Hines’ and other similar fraud cases are starting to pop up in South Florida and other parts of the country.

The PPP loans are forgiven by the government if they are properly used by businesses.

Congress is considering another major SBA loan infusion as the raging pandemic continues to hurt the U.S. economy.

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