A Florida man used CARES Act funds to purchase a $318,000 Lamborghini and other luxury items, said the Department of Justice (DOJ) this week.
Hines is accused of receiving $3.9 million in PPP loans before spending hundreds of thousands of taxpayer dollars on a 2020 Lamborghini Huracan. The sports car was registered in his name and in the name of one of his businesses, federal authorities said.
"The PPP allows qualifying small businesses and other organizations to receive loans with a maturity of two years and an interest rate of one percent. Businesses must use PPP loan proceeds for payroll costs, interest on mortgages, rent, and utilities. The PPP allows the interest and principal to be forgiven if businesses spend the proceeds on these expenses within a set time period and use at least a certain percentage of the loan towards payroll expenses," according to the DOJ.
Hines was arrested on Monday and is accused of bank fraud, making false statements to a financial institution, and engaging in transactions in unlawful proceeds. He has since posted bond.
Officials also said Hines received a $100 fine for not wearing a mask in public in Miami. While he was being fined, Hines is accused of making statements about PPP loans.
“Every single business has gone out of business. The government, the Treasury, they gave $2 trillion for PPP loans for small businesses. Eighty-five percent went to major corporations,” he said, according to the station.