ST. PAUL (FOX 9) - A St. Paul man is facing federal charges after prosecutors say he lied to obtain a loan intended to help companies struggling due to COVID-19 restrictions and used the money on personal expenses including a new motorcycle.
Friday, the U.S. Attorney's Office unsealed an indictment against 32-year-old Kyle Brenizer for fraudulently obtaining $841,000 in PPP loans.
Prosecutors say Brenizer submitted a "false and misleading" application in the name of True-Cut Construction -- a company he owned. However, in 2018, Brenizer was ordered by the Department of Labor in Industry to stop doing business. In 2019, his contractor license was expired and never renewed.
However, in May, investigators say he submitted an application in someone else's name for True-Cut, claiming the company's monthly payroll was $336,400 for 30 employees.
Prosecutors say Brenizer also submitted fake tax documents and bank statements. According to prosecutors, Brenizer's second attempt at a loan was eventually approved for $841,000.
According to the indictment, Brenizer immediately transferred $650,000 to a bank account. Prosecutors say he made multiple retail and entertainment purchases with the money including $29,000 for a Harley Davidson motorcycle and $1,000 on golf expenses.
Brenizer is now charged with two counts of wire fraud and two counts of money laundering in the case.