Rudy Giuliani, President Trump’s personal attorney, took $150,000 to $350,000 in taxpayer-backed emergency small business loans this last spring for his payroll company but it is unclear what he did what that money.
According to Salon, either Giuliani directly employs a number of people through this unknown company, and pays them substantial salaries, or the company misrepresented its finances to the government when it applied for the loan — which would likely constitute fraud, a felony.
The company, WorldCapital Payroll Corp, has handled payroll needs for more than 18 years and lists Giuliani as its CEO. Giuliani initially told Salon he was ignorant as to the purpose of the company. But the “S Corp” business is headquartered at 445 Park Avenue in Manhattan which is where Giuliani’s new private law firm is registered at.
In order to receive the loan he received, which can be fully forgiven by the government int he company can prove it used the funds toward payroll and related expenditures, the company would’ve had to spend between $720,000 and $1.68 million on payroll and employee benefits. This would equate to the company employing 7-16 people. The PPP database, however, claims WorldCapital Payroll had reported having no employees.
Business owners cannot use PPP money to pay employees of separate businesses they own. Owners would need to submit separate applications for each entity that has its own tax ID. It is not clear whether WorldCapital Payroll Corp has any subsidiaries with employees, and if so, it is not clear why Giuliani would not recall such a company, reports Salon.
Evidently, WorldCapital Payroll Corp was incorporated in Delaware back in 2002 on the same day Giuliani Partners and Giuliani Safety & Security was registered in New York. Two days later Giuliani registered WorldCapital in New York.
Some Giuliani news:— Wendy Siegelman (@WendySiegelman) September 11, 2020
World Capital Payroll Corp in NY received a PPP loan of $150,000 to $350,000
According to the NY Dept of State database the only company in NY with that name is Worldcapital Payroll Corp
The CEO of Worldcapital Payroll Corp is Rudolph W Giuliani pic.twitter.com/N7A3ftJa8F