U.S. Attorney’s Office, Sept. 20, 2021
Defendant Spent Loaned Funds on Personal Expenses, Including a Lamborghini, a Truck, and a Rolex Watch
A Texas man pleaded guilty today in the Southern District of Texas to fraudulently obtaining more than $1.6 million in Paycheck Protection Program (PPP) loans guaranteed by the Small Business Administration (SBA) under the Coronavirus Aid, Relief and Economic Security (CARES) Act.
According to court documents, Lee Price III, 30, of Houston, submitted two fraudulent PPP loan applications to two different lenders on behalf of entities 713 Construction LLC and Price Enterprises Holdings LLC. The 713 Construction LLC PPP loan application was made in the name of an individual who died shortly before the application was submitted. Through these two PPP loan applications, Price sought and obtained over $1.6 million in PPP loan funds.
Price falsely represented the number of employees and payroll expenses in each of the PPP loan applications. To support the fraudulent PPP applications, Price also submitted fraudulent tax records and other materials. After he received the PPP loan funds, Price spent the money on a Lamborghini Urus, a Ford F-350 truck, and a Rolex watch, and to pay off a loan on a residential property, among other purchases.