A federal prosecutor has charged a Georgia man with wire fraud after the man spent most of his COVID-19 business relief loan that he had lied about on a single Pokemon card worth $57,789.
The Georgia man, Vinath Oudomsine, was supposed to use his Economic Injury Disaster Loan (EIDL) to cover business expenses such as production costs, debts, payroll, or rent. However, Oudomsine, instead, spent almost all the money on a trading card after lying on his application, according to federal charging documents.
According to prosecutors, Oudomsine deceitfully applied for the EIDL in July 2020, purporting to own a small company that he started in 2018 with at least ten employees on his payroll and yearly revenue of $235,000. However, prosecutors did not indicate what type of business Oudomsine falsely claimed to own.
In August of 2020, the Small Business Association credited Oudomsine’s bank account with $85,000, according to what the document said. In January this year, prosecutors said he blew a huge part of the money on the unnamed Pokemon card.
Oudomsine, who is from Dublin, Georgia, faces up to 20 years in federal prison and up to $250,000 in fines.
The Coronavirus Aid, Relief Act was passed by congress in 2020 to provide financial assistance to eligible businesses.
