Man Takes Out USD4-Million Loan, Buys Lamborghini Huracan Evo

David Hines, a businessman from Florida, was recently arrested for defrauding the United States government, for taking out a USD4-million loan from a package arranged by the US government to help save small- and medium-enterprises (SME) affected by the coronavirus. But instead of using the money to help keep his four businesses afloat during the pandemic, it was discovered that Hines used the money illicitly, buying numerous luxury items, like a USD318,497 Lamborghini Huracan Evo.

According to an affidavit filed in the U.S. District Court for the Southern District of Florida, Hines was charged with bank fraud, engaging in transactions in unlawful proceeds, and making a false statement to a lending institution.

Like many SME business owners, Hines availed of the Paycheck Protection Program (PPP) loan extended by the U.S. Small Business Administration "that helps businesses keep their workforce employed during the Coronavirus (COVID-19) crisis" under the pretense to help keep his four businesses afloat and pay off approximately 70 employees. Hines initially wanted a total of USD13.5-million through seven loan applications but was only approved for three for USD3.984 million.

However. instead of using the money for his businesses, Hines used the money on extravagant expenses, like USD8,530 worth of purchases at Graff Diamonds and a USD4,089 stay at the Fontainebleau luxury hotel, and as mentioned earlier, a USD318,497 Lamborghini Huracan Evo, which he reportedly registered jointly in his name and in the name of Unified Relocation Solutions (URS), his self-described moving company on May 18. What supposedly exposed Hines' scam was his involvement in a hit-and-run accident with the Huracav Evo on July 11. The car has since then been seized by prosecutors to be used as evidence against Hines.

Since Hines' scam came to light, it has since been discovered that his purported 70 employees either didn't exist or earned less than what he stated on his loan application and that Hines' monthly business expenses only averaged around USD200,000 and not USD4 million as he stated in his application.

The bank accounts for Hines’ companies were closed on June 24, and of the USD3.984 million he received, he reportedly still has USD3.46 million left.

If convicted, Hines could face up to 70 years in prison on all charges.

Following Hines' arrest, he has since been granted bail for USD100,000 and allowed to stay at his mother's house with a GPS tracker on his body.