KANSAS CITY, Mo. — A former Overland Park man faces federal charges, accused of fraudulently receiving more than $800,000 in business loans under the CARES Act during the COVID-19 pandemic.
Mirza Michael Reazuddin, 65, currently lives in Lawrenceville, Georgia. A federal grand jury indicted Reazuddin on four counts of wire fraud and seven counts of money laundering.
According to the unsealed indictment, Reazuddin allegedly received two loans under the Paycheck Protection Program.
The government created the program to help small businesses pay employees during the pandemic.
The indictment says Reazuddin claimed he owned Grandview Hotel, LLC, a Missouri corporation. He allegedly claimed Grandview Hotel had a monthly payroll of $120,000, and submitted false documents in support of his loan application. The indictment says Grandview Hotel closed in March 2018, long before the pandemic.
Through the application process, allegedly compete with fake documents, the government awarded Reazuddin two loans. The indictment shows Reazuddin transferred the money into his other bank accounts
Reazuddin made his first appearance on the charges in Atlanta, Georgia, on Tuesday.