Karlie Redd’s ex-fiancée Mo Fayne was reportedly arrested after he took out a COVID-19 small business loan and allegedly spent it on himself.
The government doesn’t play about its money. The pandemic has caused tens of millions of people to lose their jobs and income, so governments worldwide have implemented policies to help individuals, especially small business owners, during this difficult time. Love & Hip Hop Atlanta star Mo Fayne, who gained popularity while dating Karlie Redd, has reportedly been arrested on charges of federal bank fraud after he allegedly used a $2 million loan to purchase lavish gifts for himself.
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According to a report made by TMZ, Mo Fayne took out a small business Paycheck Protection loan that was put in place as funds for COVID-19 relief. Fayne was able to obtain $2 million for his company Flame Trucking, but that instead of using the chunk of change to keep his business afloat, he made a number of expensive purchases.
The reality television star reportedly paid off a few debts, paid $40K toward his child support, and bought himself $85K worth of jewelry including “a Rolex Presidential watch, a diamond bracelet, and a 5.73-carat diamond ring.” Things didn’t end there; when federal authorities sat down with Fayne and questioned him about the cash, he admitted to “kinda, sorta, not really” on buying himself a 2019 Rolls-Royce.
When Fayne applied for the loan last month, he said that his company had 107 employees and that their monthly payroll was approximately $1.5 million. When he was arrested, officers “found a bag with about $70,000 in cash and another $9,400 stuffed in his pockets.”