LI Nail Salon Chain Accused In PPP Loan Scam: U.S. Attny

HICKSVILLE, NY — The owners of the chain salon Victoria Nails and Spa fudged employee payroll numbers while applying for $13 million in Payment Protection Program loans, the U.S. Attorney’s office said.

Ngoc Manh “Peter” Nguyen, 44, and Victoria Dieuy Ho, 31, both of Hicksville, and Dat Tat Ho, 33, of the Bronx, were each charged with one count each of conspiracy to commit bank and wire fraud, major fraud against the United States, and conspiracy to make false statements, according to a news release from the U.S. Attorney’s office.

They are members of a family who own a chain of over 15 nail salons called Victoria Nails and Spa and the Victoria Companies on Long Island, which includes locations at Broadway Commons Mall in Hicksville, Green Acres Mall in Valley Stream and another location in Smithtown, Newsday reported.

The trio submitted fraudulent applications for over $13 million in loans, but only about $7.8 million was disbursed into bank accounts controlled by Nguyen, Dat Ho, and other family members, the U.S. Attorney’s office said.

One of the trio ran Internet searches for “PPP Fraud,” “PPP Loan Fraud Arrests,” and “How to get rid of a PPP Loan” after a hold was placed on the nail salon company’s bank accounts for suspected fraud, prosecutors said. The company’s loans were then withdrawn and/or repaid, according to prosecutors.

Payment Protection Program loans were bolstered last year under the Coronavirus Aid, Relief, and Economic Security act to help businesses stay afloat during the COVID-19 pandemic.

“Unfortunately, the owners of Victoria Nails and Spa saw this program as their own personal piggy bank,” said Federal Bureau of Investigation Assistant Director William Sweeney.

If convicted, the family members face up to 30 years in prison based on the top charge of conspiracy to commit bank fraud, prosecutors said.