This story is free to read because readers choose to support LAist. If you find value in independent local reporting, make a donation to power our newsroom today.
Hollywood Exec Arrested On Charges Of Misusing COVID-19 Small Business Relief Funds
The former head of Aviron Pictures was arrested today on charges that he misused federal small business loan funds.
The U.S. Attorney for the Central District of California is charging William Sadleir with fraudulently applying for a $1.7 million loan from the Paycheck Protection Program, a federal loan program designed to help small businesses affected by coronavirus to pay their employees.
"This film producer allegedly made a series of misrepresentations to a bank and the Small Business Administration to illegally secure taxpayer money that he then used to fund his nearly empty personal bank account," said United States Attorney Nick Hanna.
According to the U.S. Department of Justice, Sadleir used the loan on personal expenses, including car payments and credit card bills.
Meanwhile, small businesses around the country have reported difficulty accessing Paycheck Protection Program funds, and expressed frustration that much of the initial round of funding went to large companies.
Here's Hanna again:
"The Paycheck Protection Program was implemented to help small businesses stay afloat during the financial crisis, and we will act swiftly against those who abuse the program for their own personal gain."
Sponsored message
READ THE FULL STORY:
READ THE COMPLAINT:
You come to LAist because you want independent reporting and trustworthy local information. Our newsroom doesn’t answer to shareholders looking to turn a profit. Instead, we answer to you and our connected community. We are free to tell the full truth, to hold power to account without fear or favor, and to follow facts wherever they lead. Our only loyalty is to our audiences and our mission: to inform, engage, and strengthen our community.
Right now, LAist has lost $1.7M in annual funding due to Congress clawing back money already approved. The support we receive from readers like you will determine how fully our newsroom can continue informing, serving, and strengthening Southern California.
If this story helped you today, please become a monthly member today to help sustain this mission. It just takes 1 minute to donate below.
Your tax-deductible donation keeps LAist independent and accessible to everyone.
Right now, LAist has lost $1.7M in annual funding due to Congress clawing back money already approved. The support we receive from readers like you will determine how fully our newsroom can continue informing, serving, and strengthening Southern California.
If this story helped you today, please become a monthly member today to help sustain this mission. It just takes 1 minute to donate below.
Your tax-deductible donation keeps LAist independent and accessible to everyone.
Senior Vice President News, Editor in Chief
