A New Jersey attorney was arrested Thursday for scamming $9 million in federal loans meant to help small businesses survive the economic climate caused by the Covid-19 pandemic.
Jae Choi, 48, is facing three counts of bank fraud and one count of money laundering in federal court for allegedly applying to three different lenders for Paycheck Protection Program (PPP) loans, according to a news release from the Department of Justice.
The banks ultimately gave Choi $3 million to cover the monthly payroll for each educational services company that Choi claimed had hundreds of employees, the release said.
Choi allegedly used the money to buy a nearly one million-dollar home, a $30,000 home remodel and invested millions more in the stock market through an account held in the name of his spouse, the release added.
Source : CNN