It has been a year since he was charged with conspiracy of fraud. These were the loans that were to be allocated to small businesses during the coronavirus pandemic. Baby Blue fraudulently obtained these loans and has just been sentenced to almost two years in prison.
Baby Blue Whoaaa Sentenced 20 Months in Prison for PPP Loan Scam, Forced to Pay Over $ 1 Million
The verdict fell a few days ago, precisely on December 16, 2021 according to court documents obtained by XXL on Wednesday December 22. Real name Diamond Blue Smith, Baby Blue appeared in court last October. He was accused of fraudulently requesting and obtaining funds specifically allocated to small businesses under the United States’ Payroll Protection Program (PPP) under the CARES (Coronavirus Aid, Relief, and Economic Security) Act.
The investigations were conducted by the IRS (IRS-CI) in Miami and Cincinnati, the FBI in Miami and Cleveland, and the Office of the Inspector General of the Small Business Association (SBA-OIG).
Indeed, according to the feds, Baby Blue, in complicity with eleven other people involved, filed 90 loan applications, some of which have been granted. He allegedly obtained a PPP loan of $ 426,717 for his company Throwbackjersey.com LLC and another loan of $ 708,065 obtained for his company Blue Star Records, LLC. This is thanks to the use of forged documents.
Baby Blue has just been sentenced to twenty months in prison and must pay a sum of $ 1,111,345.23 in restitution and $ 100 in assessment fees. Some might take pity or disgust towards the artist. However, it could be that the rapper is happy with this news.
Indeed, while he had already pleaded guilty to the charges against him, Baby Blue was already ecstatic about his next incarceration. For him, it’s a way to come back as a hero. “I’m not delusional. When I step out, I’ll be transformed like Gucci Mane ! And I’ll be one of the sexiest rappers in the world! “, did he declare. So good news for Baby Blue Whoaaa.