A motion for default judgment brought by a financial institution against a corporate borrower and personal guarantor who obtained a $250,000 loan under a fund designed to support Black business owners and entrepreneurs.
The defendants represented that the loan proceeds would be used to purchase a Freightliner truck but instead misappropriated the funds for personal use.
The court found the defendants liable for fraud, awarded punitive damages, granted a non-dissipation order and tracing order, and ordered full indemnity costs.
