Kindambu allegedly implemented the scheme in relation to two businesses he owns by creating fraudulent payroll documents for each business.
The loans were granted by the CARES law Paycheque Protection Program (PPP), which was created to help businesses struggling during the novel coronavirus pandemic to pay their employees’ salaries.
Kindambu’s LinkedIn page lists him as President of Papillon Air Inc., a freight and charter company based at Leesburg Executive Airport. He also applied for loans on behalf of Papillon Holdings, according to the criminal complaint.
The criminal complaint states that the amount of money spent on company accounts did not match state or federal government records. Prosecutors said the 48-year-old started paying staff in June through another company called Papillon Maintenance Services, but the names did not match those of his PPP loans, with also much lower salaries.
Kindambu is accused of spending the money on items such as a Lexas automobile and a Cessna aircraft. The plane was seized at Leesburg airport on Tuesday morning by authorities.
Kevin Carroll, an attorney for Kindambu, told FOX5 his client was “a respected businessman” and a member of the community. He said on Tuesday that due to COVID-19, he had not yet had a chance to speak to his client in private.
“I even received the document of accusation from the government”, he told FOX5. “The government is alleging a set of facts, and I am eager to hear my client’s version of the story.”
Kindambu is accused of one count of bank fraud. He did not plead Tuesday.
If found guilty, Kindambu faces 30 years in prison and a $ 1 million fine, according to officials.