*“Love & Hip Hop: Atlanta” star Arkansas Mo (born Maurice Fayne) is facing a bank fraud charge after being arrested for allegedly spending millions of dollars of coronavirus relief funds on jewelry.
According to the United States Department of Justice, Fayne’s crimes are linked to a Paycheck Protection Program (PPP) loan, which provides forgivable loans to small businesses amid the ongoing COVID-19 pandemic.
As reported by PEOPLE, Fayne, 37, applied for a PPP loan for a corporation called Flame Trucking on April 15, to pay employees and other business expenses.
Instead, he spent much of the $2,045,800 on himself.
OTHER NEWS YOU MIGHT HAVE MISSED: Family of Louisville Woman Killed in Her Apartment by Police During Botched Raid File Lawsuit
Karlie Redd’s Fiancé Maurice “Mo” Fayne Reportedly Calls Off Engagement https://t.co/PXjJCLKOZY pic.twitter.com/4SIlUFOiwc
— BallerAlert (@balleralert) May 22, 2019
Fayne allegedly used over $1.5 million of the loan to buy $85,000 worth of jewelry, including a Rolex Presidential watch, a diamond bracelet and a 5.73 carat diamond ring. He also spent $40,000 on child support, prosecutors said.
When federal agents interviewed him on May 6, Fayne denied the allegations.
But a search of his home turned up all the evidence the agents needed to support their case against him, including the jewelry, $80,000 in cash, $9,400 that Fayne had in his pockets, and a 2019 Rolls-Royce Wraith. They also seized a little over $500K in PPP funds from three of his bank accounts, the report states.
“The defendant allegedly stole money meant to assist hard-hit employees and businesses during these difficult times, and instead greedily used the money to bankroll his lavish purchases of jewelry and other personal items,” said assistant attorney general Brian A. Benczkowski in a statement.
“The department will remain steadfast in our efforts to root out and prosecute frauds against the Paycheck Protection Program.”
“The defendant allegedly egregiously sought personal gain from a program intended to assist hardworking Americans in this challenging time. SBA OIG and its law enforcement partners will aggressively pursue allegations of wrongdoing to maintain the integrity of SBA’s programs,” said Special Agent in Charge Kevin Kupperbusch of the Small Business Association Office of Inspector General (SBA OIG) Eastern Region.
We Publish News 24/7. Don’t Miss A Story. Click HERE to SUBSCRIBE to Our Newsletter Now!
