A former professional basketball player has been sentenced for fraudulently obtaining pandemic-related loans. U.S. District Judge Rodney W. Sippel handed down the sentence on Monday, which includes five years of probation, 200 hours of community service, and $308,354 in restitution.
Lorenzo Gordon, aged 41, applied for two loans from the Paycheck Protection Program (PPP) and three from the Economic Injury Disaster Loan (EIDL) Program in 2020 under false pretenses. These programs were designed to support businesses and their employees during the COVID-19 pandemic.
Gordon submitted fraudulent applications for loans using the names of three companies: Logo Fitness LLC, Elite 50 Basketball Training LLC, and Elite Health and Fitness Company LLC. He secured $107,074 in PPP loans and $165,700 in EIDL loans and advances. The restitution amount covers fees and interest.
Assistant U.S. Attorney Diane Klocke stated that Gordon "took advantage of these programs for his personal gain despite suffering no such economic injury," thereby harming "those who truly needed those funds."
In September, Gordon pleaded guilty to one felony count of theft of government money in U.S. District Court in St. Louis.
The investigation was conducted by the Internal Revenue Service and the Social Security Administration Office of Inspector General. Assistant U.S. Attorney Diane Klocke prosecuted the case.
