Baby Blue Sentenced To 20 Months For PPP Fraud


Roommates, last year during the height of the COVID-19 pandemic, it seemed as if everyone and their mamas applied for PPP loans to help upkeep their lifestyles, including some celebrities like Pretty Ricky rapper Baby Blue. Blue had folks shocked when they found out he was caught with various charges, including wire fraud, bank fraud, and conspiracy to commit wire fraud, for his participation in a PPP loan scam for more than $24 million, in October 2020. Almost a year has gone by since any new information in Blue’s case was released until now.

It looks like the Florida native has been formally sentenced for his actions. According to The U.S. Justice Department, Blue, born Diamond Smith, was sentenced on Dec.16th to 20 months after pleading guilty on Aug. 4th in the Southern District of Florida for conspiracy to commit wire fraud. As we previously reported Blue, admitted to obtaining a PPP loan of $426,717 for his company, LLC, using falsified documents and information. Upon completing that loan, he wasn’t done!

Blue obtained another PPP loan of $708,065 for his other company, Blue Star Records LLC, using falsified documents and information. Blue was ordered to pay $1,111,345.23 in restitution and $1,134,782 in forfeiture in addition to his term of imprisonment. The rapper has been quiet and hasn’t spoken on the matter since May 2021, when he offered advice to his followers regarding PPP Loans.

At the time, he released a statement online stating, “I want to take a second to use my platform and tell all my followers and anyone that sees this…If anyone approaches you with an offer for a PPP Loan, simply tell them NO THANK YOU!” He continued, “Ignorance is not a legal defense, and when you’re standing in front of a judge and jury, you won’t be able to say ‘I didn’t know.’” Roommates, we’ll keep you posted if Blue says anything about the sentencing!