As part of the plea, Schaefer agreed to forfeit $2,094,133 in cash and property, including real estate she purchased in Westerville with the PPP loan, according to the U.S. Attorney’s Office.
In May 2021, Schaefer applied for a $1.89 million loan through the Paycheck Protection Program under Lorie Schaefer DBA Flying Pizza LCC, according to federal court documents.
Schaefer claimed to be the sole owner and that the company had 98 employees with an average monthly payroll of $749,000.
The loan was to be used for payroll, rent/mortgage interest, utilities and other business expenses. Instead, the U.S. Attorney’s Office reported she used the funds for personal expenses, including $900,000 to purchase and renovate a Westerville condo, nearly $26,000 on liposuction, $10,000 on a check for a “newborn baby gift” and other purchases at Wayfair, Lamps Plus, Kroger, KFC, Burger King, Arby’s, McDonald’s and Olive Garden.
Schaefer also allegedly used the PPP loan to buy vehicles in Ohio and property in Australia.
In January 2022, a witness spoke to an investigator and said there are three Flying Pizza restaurants in Dayton, Centerville and Fairborn, according to court records. All the locations are owned by a family and Schaefer was not the owner or operator of any of the restaurants.
A second witness reportedly told investigators Flying Pizza is a family-owned, small business and the payroll could not justify a PPP loan of $1.89 million.
Schaefer also used fraudulent documents to support her application, including a modified bank statement, according to court records. She allegedly helped another woman submit a fraudulent application for PPP funds as well.
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