A Houston businessman fraudulently obtained $1.6 million from the Paycheck Protection Program on several luxury items, including a 2020 Ford F-350, and a few expensive nights at Houston area strip clubs, according to federal prosecutors in Houston.
U.S. Attorney Ryan K. Patrick of the Southern District of Texas announced Tuesday afternoon that Lee Price III committed wire and bank fraud and made false statements to a financial institution when he received two loans through the PPP program, including $900,000 for Price Enterprise Holdings and $700,00 for 713 Construction.
In his application, Price said he needed the money in order to pay numerous employees at the two companies.
Federal prosecutors say that neither of the businesses employ any workers and that the CEO that Price listed on the application actually died a month before the 29-year-old submitted his loan request under the CARES Act.
Where did the money go?
Price spent a significant amount of the cash on a Lamborghini Urus, a Rolex watch, a 2020 Ford F-350 pickup truck and a couple of real estate transactions, according to court documents.
Prosecutors also contend that Price spent several thousand dollars on booze and lap dances at Houston area strip clubs.