ST. PAUL (FOX 9) – St. Paul man faces federal charges after prosecutors said he lied to get a loan to help struggling businesses due to COVID-19 restrictions and used the money for personal expenses , including a new motorcycle.
On Friday, the US attorney’s office unveiled an indictment against 32-year-old Kyle Brenizer for fraudulently obtaining $ 841,000 in PPP loans.
Prosecutors said Brenizer made a “false and misleading” claim on behalf of True-Cut Construction, a company he owned. However, in 2018, Brenizer was ordered by the Ministry of Labor in the industry to cease operations. In 2019, his contractor’s license expired and was never renewed.
However, in May, investigators say he submitted a request on behalf of someone else for True-Cut, claiming the company’s monthly payroll was $ 336,400 for 30 employees.
Prosecutors say Brenizer also submitted false tax documents and bank statements. According to prosecutors, Brenizer’s second loan attempt was ultimately approved for $ 841,000.
According to the indictment, Brenizer immediately transferred $ 650,000 to a bank account. Prosecutors said he made several retail and entertainment purchases with the money, including $ 29,000 for a Harley Davidson motorcycle and $ 1,000 for golf expenses.
Brenizer is now charged with two counts of wire fraud and two counts of money laundering in this case.