BUFFALO, N.Y. — On Tuesday, the owner of the Rapids Theatre and his associate have been indicted for defrauding the Economic Injury Disaster Loan and Paycheck Protection Program out of more than $750,000.
John Hutchins and Roberto Soliman were indicted on charges of conspiracy to commit wire fraud and bank fraud. Hutchins was also charged with making a false statement and Soliman was charged with money laundering.
The charges these two men face carry a maximum of 30 years in prison.
The prosecution accuses Hutchings and Soliman of allegedly filing fraudulent loan applications for Hutchins companies: Rapids Theatre Niagara Falls, USA, Inc., 1711 Main, LLC, Bear Creek Entertainment, LLC,The Hutchins Agency, LLC, and Hutch Enterprises, LLC as well as CWE Entertainment, Corp., which was owned by Soliman.
Between March and August of 2020, the two defendants allegedly received four Economic Injury Disaster Loans totaling $749,500.00. On the loan applications, Hutchins and Soliman allegedly submitted false revenue and expense figures for the businesses on the loan applications, according to prosecutors.
Hutchins and Soliman allegedly used the funds for their own personal expenses, like housing, cars, and payments to relatives.
The prosecution also accuses Hutchins and Soliman of receiving a Paycheck Protection Program loan totaling $74,838.
Hutchins is accused of making a false statement to a Special Agent of the Federal Bureau of Investigation and to an Investigator of the United States Attorney's Office in November, 2020 where he denied any falsified COVID relief applications or authorizing anyone to apply for any programs.