BUFFALO, N.Y. — An Amherst man is facing a long list of charges for allegedly defrauding the federal government out of millions of dollars.
A federal grand jury has handed up a 40-count indictment against 67-year-old Hormoz Mansouri. The charges include conspiracy to commit wire fraud and bank fraud, and money laundering.
Mansouri is accused of filing fraudulent loan applications with both the Paycheck Protection Program (PPP) and the Economic Injury Disaster Loan (EIDL) Program. Those loans were designed to provide emergency financial aid under Coronavirus Aid, Relief and Economic Security (CARES Act).
Mansouri applied for loans under the following businesses he controlled:
- HLM Holding LLC,
- El Team Inc.,
- NPTS Inc.,
- 2060 Sheridan Drive LLC,
- 212 Holden Avenue LLC,
- 350 Old Niagara Falls Boulevard LLC,
- 47 East Amherst LLC, and
- 3600 Harlem Road LLC.
According to the US Attorney's office, the loans that those entities obtained either inflated or completely fabricated the average monthly payroll and six of the eight had no actual employees or payroll expenses at all.
The total amount of money allegedly obtained through the PPP loans is approximately $3 million, from the EIDL loan program, another $450,600.
Mansouri is also charged with moving the fraudulent funds between various bank accounts, including a campaign account in the name of 'Mansouri for County Comptroller.'
The Amherst businessman was arraigned Monday morning before US Magistrate Judge Michael Roemer and released on conditions.
