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ATLANTA – An Atlanta reality TV star has been sentenced to nearly two decades in prison for conspiracy and wire fraud linked 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 multi-state Ponzi scheme that defrauded more than 20 people who invested in his trucking business.
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Investors believed Fayne was using the money to run the business as he had promised, but he was using the money to fund his extravagant lifestyle. At one point, he spent $ 5 million in investor money at an Oklahoma casino.
In April 2020, Fayne submitted a $ 3.7 million PPP loan application that falsely claimed his company had 107 employees and nearly $ 1.5 million in monthly payroll.
“Fayne planned to use the P3 program as a cover for his long-standing Ponzi scheme,” Acting US Attorney Kurt R. Erskine said. “The funds provided by the program are serving as a lifeline for many businesses desperately trying to stay afloat during the pandemic, and sadly, its fraud has helped deplete those precious dollars. “
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Fayne used the funds from the PPP loan to:
- $ 40,000 for overdue child support
- $ 50,000 for restitution due in a previous fraud case
- $ 65,000 in cash withdrawals
- $ 85,000 for custom jewelry
- $ 136,000 to lease a Rolls-Royce
- $ 230,000 to associates 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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