Lil Wayne, Chris Brown and Marshmello Accused of Misusing COVID-19 Relief Funds (PO)

A new report alleges that high-profile musicians, including Lil Wayne and Chris Brown, exploited government-issued relief funds intended for struggling arts groups during the pandemic.

Dec 19, 2024

AceShowbiz – Lil Wayne, Chris Brown and Marshmello are among the musicians implicated in a scandal involving the misuse of government-issued COVID-19 relief money, according to a detailed report by Business Insider. The Shuttered Venue Operators Grant (SVOG), signed into law in 2020, was designed to support hard-hit independent venues and struggling artists during the pandemic. However, multiple high-profile artists reportedly used the funds to pad their luxurious lifestyles.

The report reveals that Lil Wayne received $8.9 million in SVOG funds. It is alleged that he spent over $1.3 million on private jet travel, more than $460,000 on designer clothing and roughly $2.14 million to settle a debt with his former manager Cortez Bryant. Wayne’s misuse also included $175,000 on expenses related to a music festival promoting his marijuana brand and almost $15,000 on luxury hotel stays for women with no connection to his touring operation.

Chris Brown’s company, CBE Touring, secured a $10 million grant. Business Insider reports that Brown paid himself $5.1 million and spent $80,000 on his elaborate 33rd birthday party, which included LED dance floors, atmosphere models and nitrogen ice cream, amongst other extravagant expenses.

Meanwhile, Marshmello received $9.9 million, all of which went directly into his pocket, given that his 2019 touring revenue exceeded the grant amount. The DJ is noted as having paid himself more than any other musician included in the report, making no allocations for managers, crew, or additional staff, a practice that was common among other recipients like Wayne and Brown.

Steve Aoki and members of the band Alice in Chains were also mentioned in the report for allegedly funneling SVOG funds into their personal bank accounts.

The SVOG, administrated by the Small Business Administration (SBA), was intended to provide relief to those who had lost significant revenue due to the pandemic. However, the SBA’s directive to assess revenue loss rather than the applicants’ assets opened a loophole that high-profile, wealthy musicians were able to exploit. In total, the SVOG program disbursed over $16 billion in grants to more than 13,000 arts groups, some of which now stand accused of fraudulently utilizing taxpayer money.

As scrutiny intensifies, none of the named musicians have responded to requests for comment. The controversy underscores the need for stricter oversight to ensure relief funds reach their intended recipients, those for whom the financial support was truly critical.