A Downers Grove man who operated a car dealership in Chicago has been sentenced to six months of home confinement for defrauding an Aurora bank out of nearly $350,000 from a federally insured loan program.
Tariq Khan, 38, also must perform community service and serve five years probation for failing to pay back a loan awarded as part of the U.S. government's Troubled Asset Relief Program. The program that was initiated to help bailout the financial and automotive industries in the wake of the 2008 financial collapse.
According to a news release from the office of the Special Inspector General for TARP, Khan was supposed to notify Aurora-based Old Second National Bank when his dealership, Urban Motors, sold vehicles that he purchased at auction with the loan dollars. Authorities said Khan never reported $340,069 of sales to the bank. As part of the sentencing, he was ordered to repay that amount.