ATLANTA – An Atlanta reality star has been sentenced to nearly two decades in prison for conspiracy and bank fraud related to a Ponzi scheme.
Maurice Fayne, 38, who starred in Love & Hip Hop: Atlanta, was sentenced to 17 years in federal prison.
Prosecutors say that from 2013 to 2020, Fayne ran a Ponzi scheme in several states that defrauded more than 20 people who invested in his truck business.
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Investors thought Fayne used the money to run the business as promised, but he used it to fund his extravagant lifestyle. At one point, he spent $ 5 million in investor money at an Oklahoma casino.
In April 2020, Fayne filed a $ 3.7 million PPP loan application that falsely claimed his business had 107 employees and nearly $ 1.5 million a month.
“Fayne planned to use the PPP program as coverage for his long-term Ponzi scheme,” said U.S. Acting Attorney Kurt R. Erskine. “The funds the program provides serve as a lifeline for many companies desperately trying to stay afloat during the pandemic, and unfortunately their fraud helped exhaust those precious dollars.”
TREND HIST STRIES:
Fayne used PPP loan funds to:
- $ 40,000 for overdue child support
- $ 50,000 for restitution due in a previous fraud case
- $ 65,000 in cash
- $ 85,000 for custom jewelry
- $ 136,000 to lease a Rolls-Royce
- $ 230,000 to partners who helped him run a Ponzi scheme
- $ 907,000 to start a new business in Arkansas
Fayne was also ordered to pay $ 4,465,865.55 in restitution.
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Fayne appeared in season 8 of the VH1 reality series “Love & Hip Hop: Atlanta.”
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