Rapids Theatre owner and co-defendant sentenced for defrauding COVID programs out of more than $1.8 million

 

Date: Jan. 21, 2026

Contact: newsroom@ci.irs.gov

Buffalo, NY – U.S. Attorney Michael DiGiacomo announced today that John L. Hutchins of Lewiston, NY, and Roberto Soliman of Niagara Falls, NY, who were convicted of conspiracy to commit wire fraud and bank fraud, were sentenced by Judge Meredith A. Vacca. Hutchins was sentenced to serve 14 months in prison, while Soliman was sentenced to serve 20 months. Both defendants were also ordered to pay full restitution to the Small Business Administration and the victim banks.

Assistant U.S. Attorneys Paul E. Bonanno and Douglas A. C. Penrose, who handled the case, stated that between March 2020, and March 2024, Hutchins and Soliman conspired with others to file fraudulent loan applications to obtain money through Economic Injury Disaster Loans (EIDL), the Paycheck Protection Program (PPP), and the Shuttered Venue Operators Grant (SVOG). The loans available for these programs were designed to provide emergency financial assistance pursuant to the Coronavirus Aid, Relief, and Economic Security (CARES Act). Hutchins and Soliman applied for loans under the following companies, which were owned by Hutchins:

Rapids Theatre Niagara Falls, USA, Inc.

1711 Main, LLC

Bear Creek Entertainment, LLC

Hutch Enterprises, LLC

The Hutchins Agency, LLC

CWE Entertainment, Corp. (owned by defendant Soliman)

Between March and August 2020, Hutchins and Soliman received Economic Injury Disaster Loans totaling $779,500.00, SVOG loans totaling $989,905.05 and PPP loans totaling $115,978. In support of each of the loans, Hutchins and Soliman submitted false revenue and expense figures for the businesses on the loan applications.

“These defendants conspired with others to take advantage of government programs designed to assist struggling businesses during the COVID 19 epidemic,” stated U.S. Attorney DiGiacomo. “By submitting false and fraudulent applications, Hutchins and Soliman lined their own pockets, thereby depriving struggling businesses that were actually eligible for this money.

“Hutchins and Soliman abused a system of benefits put in place specifically for businesses experiencing hardships. Instead of using the money legitimately, the pair stole nearly $2 million from the program while others still waited in line. Today’s sentencing means that each of these fraudsters will now face the punishment of their illicit, greedy behavior,” said Harry T. Chavis, Jr., Special Agent-in-Charge of IRS-CI New York.

The sentencings are the result of an investigation by the Internal Revenue Service, Criminal Investigation Division, under the direction of Special Agent-in-Charge Harry Chavis, the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Philip Tejera, U.S. Customs and Border Protection, under the direction of Rose Brophy, Director of Field Operations, and the New York State Office of Professional Discipline.

IRS Criminal Investigation (IRS-CI) is the law enforcement arm of the IRS, responsible for conducting financial crime investigations, including tax fraud, narcotics trafficking, money laundering, public corruption, healthcare fraud, identity theft and more. IRS-CI special agents are the only federal law enforcement agents with investigative jurisdiction over violations of the Internal Revenue Code, obtaining a 90% federal conviction rate. The agency has 19 field offices located across the U.S. and 14 attaché posts abroad.