Arroyo Grande couple plead guilty to fraud, facing decades in prison
August 30, 2024
Christopher and Erin Mazzei bought a condo at this development in Kapolei, Hawaii for $820,000 in Dec. 2020.
By KAREN VELIE
An Arroyo Grande couple who scammed the federal government out of more than a million dollars they used to purchase a condo in Hawaii pleaded guilty this week to conspiring to commit wire fraud and money laundering.
The couple, Christopher and Erin Mazzei, are both facing sentences of up to 40 years in prison, fines of up to $1,250,000, restitution, and up to five years supervised release, according to their plea agreements. The couple also agreed to the forfeiture of their home at 1769 Oak Hill Road in Arroyo Grande, their condo in Kapolei Hawaii and $625,993 previously seized from the couple’s financial accounts.
After obtaining $1,365,000 in forgivable Paycheck Protection Program loan funds intended for COVID-19 relief for their film production and catering companies, the couple then purchased a condo in Hawaii and two SUVs.
The couple submitted fraudulent loan applications based on false payroll expenses and then spent the funds on personal items.
On April 13, 2020, Christopher Mazzei applied for a PPP loan for Gusto on the Go catering claiming he was the only owner of the San Luis Obispo based company, which he reported had 27 employees. However, Christopher Mazzei’s mother was the registered owner of Gusto on the Go, which the state of California suspended on Oct. 1, 2020.
On April 20, 2020, the couple applied for a PPP loan for Better Half Entertainment claiming they had 12 employees, did not own any other businesses and would not be applying for any other PPP loans, none of which was accurate. The couple provided the bank with false payroll records.
In 2020, the couple applied for and received eight PPP loans for three businesses: Gusto on the Go catering in San Luis Obispo, Better Half Entertainment in SLO and Better Half Entertainment in Beverly Hills.
The couple remains out on bail until their Jan. 9, 2025 sentencing.
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