A Las Vegas man was arrested for fraudulently receiving close to $ 2 million in federal COVID-19 aid to small, troubled businesses and leading a luxurious life, including downtown condos, trips to lavish casinos, a $ 260,000 Bentley convertible, and a Tesla.
Jorge Abramovs was arrested on January 15 and charged with bank fraud, the federal prosecutor told the US Attorney’s Office in Nevada in an unsealed criminal complaint.
He allegedly applied for Paycheck Protection Program funding from at least seven banks between April and June 2020, but lied about his workforce and payroll, according to the Las Vegas Review-Journal.
In total, he received at least 11 government loans to help businesses in trouble, and he put his new fortune on display on social media photos on Facebook of his stays at Caesars Palace, gambling in casinos, vacations in Spain and Peru amid the pandemic and his new luxury cars.
An investigation began in August and a hearing was held early Friday morning at which Abramovs was placed in custody.
Las Vegas man Jorge Abramovs has been charged with bank fraud for fraudulently receiving nearly $ 2 million in COVID-19 aid to small, sick businesses and spending it on luxury purchases on himself
In his applications, Abramovs stated that the loan money would be used for rent and payroll, but instead bought luxury cars and new apartments downtown. On June 3, he purchased a 2020 Bentley Continental GT Convertible for $ 260,982 with taxes and fees. He shared this Facebook post days before he put the car on display and said: “My new baby from Tuesday”
Two weeks later, on June 18, after a trade-in, he bought a 2020 Tesla Model 3 for $ 54,904. He shared this excerpt from his Tesla charging process on Facebook in July
Abramovs filled out the loan applications using several company names including National Investment Group Corporation, National Legal Advisors in Care of, and National Investment Group.
According to the company’s vague website, the company offers ambiguous human resources and law firm services. Websites and social media accounts associated with the companies have been deleted.
Abramovs received at least six loans on behalf of NIGC and at least five on behalf of NLA.
Abramovs “misrepresented the number of employees and the amount of revenue and pay slips of his companies to the banks” and applied for several funds. Each request contained a variation of an address on S. Fort Apache Road, according to the complaint.
In a motion, Abramovs claimed NIGC had 18 employees and an average monthly wage bill of $ 64,797.
In another case, he claimed NIGC had 49 employees and an average monthly payroll of $ 55,235.
“Overall financially, he has allegedly received fraudulent PPP loan funds of $ 1,986,737.46,” the complaint read.
Abramovs claimed to be President, Secretary, Treasurer and Director of the National Investment Group. According to its website, the company provides services to human resources and law firms
Abramov shared photos of himself playing in Las Vegas on his social media
He shared the snapshot on June 13th at the Caesars Palace Casino in Las Vegas and said, “Another win !!”
According to the criminal complaint, Abramovs used federal loan money to buy two condominiums in Veer Towers on the Las Vegas Strip. An exterior view above
He bought the first apartment in late May for $ 225,638.59 and authorities said 80 percent of that money came from the fraud program. He bought another apartment in the building in June for $ 412,000, and 99 percent of that purchase used loan money, according to the complaint. A file image aboe shows the view into one of the luxury apartments in the building above
A glimpse of a lavish apartment in the Veer Towers with high ceilings, breathtaking panoramic views and a state-of-the-art kitchen
Living in the Lap of Luxury: A peek of a one-bedroom bedroom in the Veer Towers overlooking the Las Vegas Strip above
With every loan application, he confirmed that he would not receive another PPP loan.
In his applications, he stated that the loan money would be used for rent and payroll, but he bought luxury cars and new apartments downtown.
“Financial analysis shows that Abramovs spent the money buying luxury items for himself, including buying a 2020 Bentley, a 2020 Tesla, and two condos in Veer Towers, Las Vegas, Nevada,” the criminal complaint read.
On June 3, he purchased a 2020 Bentley Continental GT Convertible for $ 260,982 with taxes and fees.
Two weeks later, on June 18, after a trade-in, he bought a 2020 Tesla Model 3 for $ 54,904.
He shared these snaps of his June stay at Caesars Palace in Las Vegas in June
He shared this snapshot in late June at Veer Towers, where he bought two condos, and said, “I’m about to get drinks at Caesar’s !!!”
At the end of May he bought his first luxury apartment in the Veer Towers on the legendary Las Vegas Strip.
“Financial analysis found that of the $ 225,638.59 spent buying this condo, approximately 80 percent was criminal proceeds from Abramov’s” PPP loan fraud program, “according to the complaint.
In June he bought another apartment in the same building, this time for $ 412,000.
For that purchase, 99 percent of that purchase represented “criminal proceeds from Abramov’s” alleged PPP fraud program “.
However, Abramovs was blown up in August when federal agencies checked with the Nevada Department of Employment, Education and Rehabilitation to see if they were making unemployment insurance payments.
Employers who pay employees more than $ 225 in a quarter are required by state law to pay unemployment insurance.
However, they did not find any records of unemployment insurance payments from NIGC, which Abramovs’ company claimed to be president, secretary, treasurer and director of.
He is listed on LinkedIn as the company’s vice president.
Investigators began monitoring his business in the fall and, according to the complaint, referred to the address as a “showcase” with less than a handful of people.
The bankruptcy comes as federal law enforcement doubles fraud related to the CARES bill, which went into effect in March.