Dayton man accused of lying about pandemic loans to fund travel, shopping faces federal charges

DAYTON — A Dayton man accused of using pandemic relief funds he obtained illegally by lying on loan applications to pay travel, shopping and restaurant purchases is facing multiple federal charges, a criminal complaint unsealed Tuesday shows.

Jon Alan Bader, 50, of Dayton, faces charges of bank fraud, wire fraud, making false statements and charges for committing fraud in connection with major disaster or emergency benefits. He could face up to 115 years in federal prison if convicted.

Agents said Bader applied for pandemic-related relief loans using a business that hadn’t even been registered with the state at the time he’s accused of applying for the loans.

Bader is said to have used the business name JB Auto Wholesale, LLC to apply for federal loans designed to assist small businesses during the pandemic, the complaint read.

“Based on my investigation there are no public records that indicate that JB Auto Wholesale, LLC was in operation in 2019. Moreover, Bader did not open a business bank account for JB Auto Wholesale, LLC until July 21, 2020,” an agent wrote.

Bank records obtained by the FBI showed that following the receipt of a May Paycheck Protection Program Loan, Bader’s bank account showed “a significant increase in spending,” the complaint read.

Bader is accused of spending more than $139,000 from his bank accounts between May 2020 and August 10. The charges on the accounts included retail purchases at Saks, Target, Puma, Lacoste and others. The accounts also showed payments to numerous restaurants, including steakhouses, federal agents said. He also was said to have used some of the money to fund travel in Florida, Indiana and Kentucky.

In an interview, Bader told agents “he applied for a PPP in the amount of approximately $150,000 due to the auctions closing because of the COVID-19 pandemic and the uncertainty of when the auctions would reopen,” the complaint read.

“Bader claimed that his spending habits did not change once he received the PPP loan,” an agent wrote. “Bader did, however, disclose that on mulitple occasions he used PPP funds to travel to Sarasota, Florida to visit his father.”

Bader is not currently in jail and his case will be presented to a federal grand jury in the future. He’s pleaded not guilty to the charges.