NIAGARA FALLS, N.Y. (WIVB) — The owner of the Rapids Theatre in Niagara Falls and an associate are facing charges for defrauding COVID relief loan programs out of more than $750,000, as a federal grand jury returned an indictment, according to the U.S. Attorney’s office.
John Hutchins, 68, of Lewiston and Roberto Soliman, 39, of Niagara Falls have been charged with conspiracy to commit wire fraud and bank fraud. Hutchins, the venue’s owner, has also been charged with making a false statement and Soliman has been charged with money laundering. The charges reportedly carry a maximum penalty of 30 years in prison.
The indictment reportedly charges the pair with filing fraudulent loan applications under both the Economic Injury Disaster Loan (EIDL) and Paycheck Protection Program (PPP), which were designed to provide emergency financial assistance to businesses.
Hutchins and Soliman applied for loans under five companies owned by Hutchins:
Rapids Theatre Niagara Falls, USA, Inc.1711 Main, LLCBear Creek Entertainment, LLCHutch Enterprises, LLCThe Hutchins Agency, LLC
They also applied for a loan for CWE Entertainment, Corp., owned by Soliman.
Between March and August 2020, the pair reportedly received four EIDL loans totaling $749,500 and a PPP loan for $74,838. According to the U.S. Attorney’s office, Hutchins and Soliman submitted false revenue and expense figures for the businesses on the applications.
The office said the two then used the funding for their own personal expenses, including residences in North Tonawanda and Lewiston, a 2020 BMW, a 2020 Cadillac, HOA fees for a condo in Florida and payments to relatives.
Hutchins has also been accused of making a false statement to an FBI Special Agent and a U.S. Attorney’s office investigator while denying applying for or authorizing application for the loans, with the possible exception of one PPP loan for the Rapids Theatre.
Soliman has been accused of laundering money to use the fraudulent loan proceeds for personal expenses.