‘Cherish & Hip Hop Atlanta’ star Mo Fayne sentenced to 17.5 years in jail for fraud
Truth TV star and rapper Maurice “Mo” Fayne has been sentenced to 17.5 years within the inspire of bars for working a multi-million Ponzi plot and stealing bigger than $2 million in COVID-19 relief funds — which he then old to fund his rip-off and hire a Rolls-Royce.
The “Cherish & Hip Hop: Atlanta” star was as soon as handed the prolonged federal jail sentence after pleading responsible to conspiracy and wire fraud bills in Might well well presumably fair, the US Legal authentic’s Dwelling of industrial said Wednesday.
He was as soon as also ordered to pay $4,465,865.55 in restitution to victims.
In April 2020, Fayne submitted a $3.7 million Paycheck Protection Program (PPP) mortgage application to United Neighborhood Bank — falsely claiming that he wished the funds to pay the 107 workers of his trucking change “Flame Trucking,” which was as soon as struggling at some level of the pandemic.
Fayne ended up receiving a little bit over $2 million in relief funds, which prosecutors said he squandered on glitzy jewelry, immediate vehicles, and running his multistate Ponzi plot.
“Fayne planned to use the PPP program as a conceal for his prolonged-running Ponzi plot,” said Performing US Legal authentic Kurt R. Erskine. “The funds this plan offers inspire as a lifeline to many businesses desperately making an are trying to have confidence afloat at some level of the pandemic, and unfortunately his fraud helped fritter away these precious greenbacks.”
As a substitute, prosecutors said Fayne spent $85,000 on jewelry for himself, alongside side a Rolex Presidential interrogate, a diamond bracelet, and a 5.73 carat diamond ring.
He spent a further $136,000 to rent a Rolls-Royce Wraith, and withdrew $65,000 in cash.
The rapper, who goes by the name “Arkansas Mo,” also old $230,000 of the fraudulent mortgage to prop up his Ponzi plot that ripped off bigger than 20 traders within the trucking change between March 2013 and Might well well presumably fair 2020, prosecutors said.
The actuality TV star then cleared his private money owed, which included $40,000 for previous-due child strengthen and $50,000 for restitution owed in a previous fraud case.
“This sentence ought to silent inspire look that the FBI and our federal companions will review anybody who misdirects federal emergency help earmarked for businesses who need it to have confidence afloat,” Special Agent in Fee of FBI Atlanta Chris Hacker said.
“We won’t tolerate anybody driven by private greed to pocket American taxpayer money that ought to be going to of us who need it.”
Right thru the direction of the Ponzi plot, Fayne spent bigger than $5 million at a on line casino in Oklahoma, the US attorney’s build of job said.
After Fayne lied to federal agents about spending the coronavirus relief funds on his change, a search of his Georgia home on Might well well presumably fair 11, 2020, uncovered approximately $80,000 in cash, alongside side $9,400 Fayne had in his pockets.
Agents also performed seizure warrants for 3 bank accounts that Fayne owned or managed and seized approximately $503,000 in PPP funds.
“Fayne planned to use the PPP program as a conceal for his prolonged-running Ponzi plot,” Performing US Legal authentic Kurt R. Erskine said.
“The funds this plan offers inspire as a lifeline to many businesses desperately making an are trying to have confidence afloat at some level of the pandemic, and unfortunately his fraud helped fritter away these precious greenbacks.”