Man Pleads Guilty to Misusing Pandemic Relief Business Loan

STARKVILLE, Miss. (AP) — A Mississippi man pleaded responsible Monday to a federal wire fraud cost for misusing greater than $6 million in enterprise loans by means of a pandemic reduction program, prosecutors stated.

Somewhat than use the cash for his companies, Christopher Paul Lick admitted utilizing it for private investments within the inventory market and shopping for a house valued at greater than $1 million, in keeping with a information launch from Clay Joyner, the U.S. legal professional for northern Mississippi.

Lick, 47, of Starkville, filed fraudulent mortgage purposes to banks that have been offering loans as a part of the Paycheck Safety Program, in keeping with court docket information.

The information present Lick owned and managed 4 corporations, together with Aspen River Candle Co., primarily based in Columbus, Mississippi. Joyner stated Lick admitted overstating the variety of staff and payroll bills to obtain cash.

Paycheck Safety Program loans have been assured by the Small Enterprise Administration beneath the federal Coronavirus Assist, Reduction and Financial Safety Act.

“The CARES Act mortgage applications have been supposed to assist small companies and households struggling to outlive throughout a tough pandemic,” Joyner stated. “Sadly, far too many people just like the defendant abused these applications for their very own private profit.”

Lick entered the responsible plea on the day he had as soon as been scheduled to go on trial. He faces as much as 30 years in jail, with sentencing set for Aug. 12 earlier than Senior U.S. District Decide Glen Davidson.

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