California Man Arrested for Using Government’s Covid-19 PPP Loan to Buy Cryptocurrency and Tesla – Regulation Bitcoin News – Bitcoin News

California Man Arrested for Using Government’s Covid-19 PPP Loan to Buy Cryptocurrency and Tesla – Regulation Bitcoin News – Bitcoin News


The U.S. has arrested a man on criminal charges after he allegedly defrauded the government’s Covid-19 loan programs and used the money to buy cryptocurrency and Tesla.

Using PPP Loan to Buy Cryptocurrency and Tesla

The U.S. Department of Justice (DOJ) announced Friday that Lebnitz Tran was arrested Thursday “on criminal charges related to his alleged scheming to submit fraudulent loan applications seeking millions of dollars in Paycheck Protection Program (PPP) and Economic Injury Disaster Loan (EIDL) Covid-19 relief funds.”

According to an indictment unsealed Friday, the 40-year-old man from San Jose, California, submitted at least 27 PPP loan applications and at least seven EIDL loan applications on behalf of multiple persons and business entities.

The indictment alleges that “Tran sought in excess of $8 million in PPP and EIDL funds, obtained over $3.6 million in illicit loan proceeds, and ultimately
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