ALEXANDRIA, Va. – A man in Leesburg, Va. has been arrested on charges of fraudulently obtaining more than $2.5 million in loans through the Paycheck Protection Program (PPP), and then spending the fraudulently obtained money on luxury items.
According to court documents, Didier Kindambu, 48, fraudulently obtained two loans issued under the PPP. Kindambu carried out the scheme in connection with two businesses that he owns by creating fraudulent payroll documentation for each business, and then submitting that documentation in support of the PPP loan applications.
In total, Kindambu fraudulently obtained approximately $2,501,753 in loan proceeds, and then spent those funds, in part, on items unrelated to any legitimate PPP-related expense, such as a Lexus automobile and a Cessna aircraft, prosecutors said.
Kindambu has been charged with one count of bank fraud. If convicted, he faces a maximum penalty of 30 years in prison.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia; Kelly R. Jackson, Special Agent in Charge, Washington, D.C. Field Office, IRS-Criminal Investigation; Hannibal “Mike” Ware, Inspector General of the Small Business Administration; and Jay N. Lerner, Inspector General of the Federal Deposit Insurance Corporation (made the announcement.
Assistant U.S. Attorney Matthew Burke is prosecuting the case.