A South Florida rapper and reality star has been charged and accused of pocketing coronavirus relief money to buy a Ferrari.
Diamond Blue Smith, 36, a cast member on “Love & Hip Hop: Miami” and a member of the group Pretty Ricky, was arrested Monday along with 28-year-old Tonye C. Johnson of Pennsylvania for their roles in a $24 million COVID-19 relief fraud scheme.
Smith and Johnson both face charges of wire fraud, bank fraud, and conspiracy to commit wire fraud and bank fraud.
The government alleges Smith — also known as “Baby Blue” — obtained money for a Ferrari by falsifying documents to get a Paycheck Protection Program loan worth nearly $427,000 dollars. He allegedly did the same for another loan worth nearly $1 million.
The FBI’s investigation revealed Smith was allegedly part of a broader scheme convincing others to file for the funds while taking kickbacks. There are at least 11 other defendants.
Florida Recording Artist and Pennsylvania Man Charged for Role in $24 Million COVID-Relief Fraud Scheme https://t.co/do0TbGerQt
— Justice Department (@TheJusticeDept) October 6, 2020
PPP loans were meant for qualifying small businesses to receive money in emergency and forgivable loans due to impacts from the pandemic. It was part of the $2 trillion CARES Act.
