Ex-Jets WR Josh Bellamy charged in coronavirus-loan fraud scheme

Former Jets wide receiver Josh Bellamy has been charged for allegedly participating in a scheme to obtain more than $24 million in fraudulent loans that were intended for Coronavirus Aid, the U.S. Department of Justice announced on Thursday.

Bellamy was arrested in Florida Thursday morning and charged in a federal criminal complaint with wire fraud, bank fraud, and conspiracy to commit wire fraud and bank fraud. Bellamy allegedly obtained a Paycheck Protection Program (PPP) loan of more than $1.24 million for his own company, Drip Entertainment LLC.

According to the Department of Justice, Bellamy allegedly purchased more than $104,000 in luxury goods using proceeds of his PPP loan, including purchases at Dior, Gucci, and jewelers. Bellamy also allegedly spent nearly $63,000 in PPP loan proceeds at the Seminole Hard Rock Hotel and Casino, and withdrew more than $302,000.

Ten other defendants were allegedly involved in the scheme.

The PPP provides qualifying small businesses and other organizations in need of financial assistance due to the economic effects caused by the COVID-19 pandemic. The loan proceeds must be used for expenses, including payroll costs, interest on mortgages, rent and utilities.

Bellamy, signed last year by the Jets, did not take part in training camp due to a shoulder injury. The Jets released him Tuesday from the physically unable to perform list. According to a source, the Jets were not aware of Bellamy’s situation when they released him.