HOUSTON - A Houston entrepreneur will face a number of felony charges after he allegedly used PPP loans for his personal entertainment.
Lee Price III, 29, was taken into federal custody Tuesday and appeared before a judge, accused of fraudulently obtaining $1.6 million dollars in Paycheck Protection Program loans, also known as PPP.
But instead of using the relief money intended to help small businesses struggling with the COVID-19 pandemic, court documents say Price bought a Rolex watch, a 2020 Ford F-350 pickup truck, spent thousands of dollars at strip clubs and night clubs in Houston and also purchased loan money on a Lamborghini.
Court documents also say Price has a lengthy criminal history including felony convictions for forgery in 2010 and for robbery in 2011.
Price is also currently charged with tampering with a government record.
He will now face additional charges including making false statements to a financial institution, wire fraud, bank fraud, and engaging in unlawful monetary transactions.
Documents show two of Price’s fraudulent applications received funding. The loan applications allegedly claimed that both businesses had a number of employees and significant payroll expenses -- both of which investigators say is not true.