Woman used CARES Act money to buy homes and cars, feds say

The Justice Department lists some of the purchases as nearly $725,000 for homes in Katy and Cypress, and $78,000 for a 2020 Land Rover.

Video Transcript

ART RASCON: As so many local businesses still struggling during the pandemic, we have new insight now into what a Houston woman is accused of buying in an alleged PPP scam, PPE scam. The Texas-- the Justice Department indicted LaDonna Wiggins with bank fraud, making a false statement to a bank, and money laundering. The Feds say Wiggins has submitted two Paycheck Protection Program loan applications and received more than $3.6 million. She also allegedly used that money to make personal purchases rather than for legitimate business purposes.

The Justice Department lists some of the purchases as nearly $725,000 for homes in Katy and Cyprus, $78,000 for a 2020 Land Rover, $63,000 at Chanel, $46,000 at Neiman Marcus, $14,000 at an Apple store, just to name a few. If convicted, Wiggins faces up to 30 years in federal prison and a possible $1 million maximum fine. Just a huge PPP scam there.