A Milwaukee business owner faces federal charges of providing false information to obtain $176,895 in PPP loans, allegedly later using those funds for his own personal expenses. Larry Hart, owner of Hart of…
A Milwaukee business owner faces federal charges of providing false information to obtain $176,895 in PPP loans, allegedly later using those funds for his own personal expenses.
Larry Hart, The owner of Hart of Detailing LLC, a Milwaukee auto detailing store specializing in vehicle cleaning, is charged with two counts of wire fraud related to two different Paycheck Protection Program (PPP) loans he received. The United States Small Business Administration has overseen Paycheck Protection Program, but business owners could receive individual loans from approved private lenders as long as they applied and were approved. The PPP loans were intended to help businesses during the COVID-19 pandemic, providing funds for up to 8 weeks of payroll costs including benefits. The funds could also be used to pay interest on mortgages, rent and utilities. A criminal complaint alleges that on August 5, Hart received $90,999 from a moneylender in Atlanta. On February 2, 2021, Hart also received $85,896 from the same lender. Hart allegedly submitted fraudulent PPP loan applications to obtain these loans. “The defendant falsely asserted that he intended to spend the proceeds of the loan on payroll expenses, rental and mortgage costs, interest and utilities,” according to the complaint. “In fact, the loan funds were used, among other things, for personal expenses and other non-business expenses.” Hart was in U.S. District Court in Milwaukee on September 14 for a first appearance, at which he pleaded not guilty. His attorney was not immediately available Thursday for further comment. Hart faces up to 20 years in prison and a $250,000 fine.
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