NORFOLK, Va. (AP) – A man from Virginia who authorities say used a fraudulently obtained $ 350,000 Paycheck Protection Program loan for personal expenses, including a trip to Las Vegas, has pleaded guilty of bank fraud.
Scott Suber, 39, argued in a federal district court in Norfolk on Wednesday, the United States Attorney’s Office for the Eastern District of Virginia said in a press release.
Congress authorized the Paycheck Protection Program, known as PPP, in March to provide emergency financial assistance to those suffering the economic effects of the coronavirus pandemic. The program provided forgivable loans to small businesses for job maintenance and other expenses.
Court documents said Suber’s loan application fabricated the number of employees at his Virginia Beach-based company, Debris or Not Debris Property Preservation, and how much he had to pay in wages. The app also included bank statements with modified dates, the statement said.
After obtaining the money, authorities said Suber made large withdrawals of money, traveled to Las Vegas and made other non-commercial payments to individuals.
“He trusted the wrong people”, The Virginian-Pilot quotes defense lawyer Scott Hallauer. “And he’s taking responsibility for it now.”
Suber could face up to 30 years in prison when he is sentenced next year.