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06-05-2020, 08:11 AM #1
- Join Date
- Mar 2015
- Location
- Boynton Beach
- Posts
- 3,490
YIKES!!! Another PPP Fraud!
Chinese national, Muge Ma (a/k/a "Hummer Mars") was arrested on May 21, 2020 for allegedly attempting to obtain over $20 million in U.S. government-guaranteed loans designed to provide relief to small businesses during the coronavirus pandemic. According to the charges, Ma allegedly received multiple Paycheck Protection Program ("PPP") and the Economic Injury Disaster Loans ("EIDL") by falsely representing that his two companies, New York International Capital and Hurley Human Resources, had hundreds of employees and paid millions of dollars in wages.
Over a span of about two months, Ma applied to at least five banks for a total of over $20 million in government-guaranteed loans. In connection with the loan applications, Ma allegedly claimed that he was the sole owner and executive director of two businesses that were located on the sixth floor of a luxury condominium building in New York City. He further claimed that his businesses had hundreds of employees. However, an FBI investigation suggests that Ma was the only employee at New York International Capital since 2019 and that Hurley Human Resources never had employees.
In order to support the fraudulent loan applications, Ma allegedly submitted altered bank records, tax records, insurance records, payroll records, and audited financial statements. In the course of the loan applications, Ma also allegedly misrepresented that he was a United States citizen, when, in fact, he is a Chinese national with lawful permanent resident status in the United States.
Before the alleged fraud scheme was discovered, the SBA approved over $650,000 in EIDL funds and a bank approved and disbursed approximately $800,000 in PPP loan funds.
Ma is being charged with bank fraud, wire fraud, making false statements to a bank, major fraud against the United States, and making false statements to the SBA. In addition to facing bank fraud charges, Ma is also being charged for falsely representing to a COVID-19 test kit manufacturer that one of his companies was a registered vendor for the State of New York.Kevin Henry
VP-Business Development
Seacoast Business Funding, a division of Seacoast Bank
561-850-9346
Kevin.Henry@SeacoastBF.com
1880 N Congress Ave., Suite 404
Boynton Beach, FL 33426
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