DALLAS (CBSDFW.COM) – The owner of a North Texas cryptocurrency company was federally charged Wednesday with defrauding the Paycheck Protection Program out of hundreds of thousands of dollars.
John Corbin Corona, 35, of Dallas, was indicted in October. 5, 2022 on one count of wire fraud and money laundering. He was arrested on Monday, Nov. 7, 2022 and first appeared in court on Wednesday.
According to the indictment, Corona, who owns a cryptocurrency company called HODL LLC that operates a supposed investment fund called Bitcoin Bank America, fraudulently applied for two PPP loans totaling more than $413,000 through two financial technology companies that partnered with lenders.
Corona allegedly inflated his company’s payroll and lied about the number of employees on his loan applications. He also filed federal tax returns containing false information about HODL LLC.
After Celtic Bank deposited $206,902 in PPP loans into Corona’s bank account, he allegedly moved over $155,000 of those funds to a cryptocurrency exchange.
If convicted, Corona faces up to 20 years in prison for fraud and 10 years for money laundering. He would also be liable to forfeit the proceeds of his scheme.