Man Admits to Using Federally Backed Loans to Pay Off Gambling Debts

Written by:
Guest
Published on:
Jul/20/2017

NEWARK, N.J. (Associated Press) — A New Jersey man has pleaded guilty to using federally backed loans for gambling debts and other personal expenses.

NJ.com reports (http://bit.ly/2tJK1sQ ) 58-year-old John Cheng, of New Brunswick, pleaded guilty to loan application fraud Wednesday. Cheng faces up to 30 years in prison.

Prosecutors say Cheng applied for a $1.75 million federal Small Business Administration loan along with a $2 million commercial loan in order to finance a restaurant in December 2007. Officials say Cheng received more than $2 million in loans in March 2008.

Authorities say Cheng spent the money on family members, a tax bill and gambling debts instead of construction for the restaurant.

Cheng must pay $2.6 million in restitution.

Sentencing is scheduled for October.

 

Gambling News

The Three Main Bets in Baccarat and How They Work

The history of baccarat is quite old, maybe dating back to Italy. The name is derived from the Italian word "baccara," which means zero, a reference to the fact that 10s and face cards count as zero in the game.

Syndicate

Subscribe to Syndicate
More