Business loan

Georgia man allegedly used COVID business loan to buy $ 57,000 Pokémon card

A man from Georgia has been accused of lying to the Small Business Association when he applied for a COVID relief loan. Prosecutors said that Vinath Oudomsine inflated the number of people he employed and the gross income of his business when he completed the SBA’s economic disaster loan application.

These loans were meant to help business owners cover salaries, sick leave, and other costs like rent to help them stay afloat during the coronavirus pandemic.

In August, the authorities approved a loan for Oudomsine and deposited $ 85,000 in his bank account. But, instead of using that money to cover his business expenses, Oudomsine spent over $ 57,000 to buy a rare Pokémon card.

Prosecutors did not specify which Oudomsin card purchased with the commercial loan.

He has been charged with one count of wire fraud and faces up to 20 years in prison and a fine of up to $ 250,000 if convicted.

Oudomsine did not plead guilty and his lawyers did not comment on the case.

Earlier this year, the federal government said the SBA had approved at least 3,000 loans to businesses and individuals who were not eligible. Fraudulent loans made up one-tenth of 1% of the $ 224 billion program.