Photo: Miami-Dade County Department of Corrections
Those counting on the terrible state of things worldwide to commit fraud have another thing coming: the feds are always watching. A Miami socialite and self-proclaimed philanthropist and businessman has been arrested after he used emergency funds from the PPP to buy himself a brand new Lamborghini, among other things.
We’ve said this before, when reporting on a similar case: there is a special place in hell for people who profit off other people’s misery. David Hines has his secured, if the charges brought against him last Monday hold up. Also secured for him: a prison cell for the next 70 years if he’s found guilty on all charges, which include bank fraud, engaging in transactions in unlawful proceeds, and making a false statement to a lending institution.
Hines is, according to The Smoking Gun, a fixture on the Miami party scene. At the onset of the health crisis, he, like many other businessmen, turned to the Paycheck Protection Program (PPP) for support in maintaining basic operations. Unlike those, he lied about his business and probably assumed no one would keep track of the loans he received. He claimed he had four separate businesses totaling some 70 employees and expenditures of $4 million a month. In seven different fillings to different banks, Hines asked for a total of $13.5 million, $4 of which were paid to him in three payments.
Hines didn’t spend a dime on his businesses, as you may have guessed. In May, he wired $318,497.53 to a Miami dealership for a 2020 Lamborghini Huracan Evo, he made a couple of payments to his mom, and spend small fortunes on shopping sprees, visits to the jeweler and stays at some of the local resorts. He also paid ride-shares and food deliveries with the some money. A baller lifestyle doesn’t come cheap.
Federal agents say that the more money Hines received from the emergency Paycheck Protection Program funds, the more loans he applied for. Meanwhile, they believe that not one of his four businesses has been in proper operation since 2015 or, if it has, he hasn’t been paying staff on the books.
Following Hines’ arrest, feds seized the Lamborghini and the bank accounts, which still held $3.4 million in PPP funds. Uncle Sam now has a brand new Lambo.
Hines is, according to The Smoking Gun, a fixture on the Miami party scene. At the onset of the health crisis, he, like many other businessmen, turned to the Paycheck Protection Program (PPP) for support in maintaining basic operations. Unlike those, he lied about his business and probably assumed no one would keep track of the loans he received. He claimed he had four separate businesses totaling some 70 employees and expenditures of $4 million a month. In seven different fillings to different banks, Hines asked for a total of $13.5 million, $4 of which were paid to him in three payments.
Hines didn’t spend a dime on his businesses, as you may have guessed. In May, he wired $318,497.53 to a Miami dealership for a 2020 Lamborghini Huracan Evo, he made a couple of payments to his mom, and spend small fortunes on shopping sprees, visits to the jeweler and stays at some of the local resorts. He also paid ride-shares and food deliveries with the some money. A baller lifestyle doesn’t come cheap.
Federal agents say that the more money Hines received from the emergency Paycheck Protection Program funds, the more loans he applied for. Meanwhile, they believe that not one of his four businesses has been in proper operation since 2015 or, if it has, he hasn’t been paying staff on the books.
Following Hines’ arrest, feds seized the Lamborghini and the bank accounts, which still held $3.4 million in PPP funds. Uncle Sam now has a brand new Lambo.
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