Free Consultations & We're Available 24/7
WE'RE A BOUTIQUE LAW FIRM. YOU WORK WITH ONE OF OUR SENIOR ATTORNEYS PERSONALLY.
WE'RE ONE OF NEW YORK'S OLDEST CRIMINAL DEFENSE LAW FIRMS. TRUST 50 YEARS OF EXPERIENCE.
WE SERVICE CLIENTS NATIONWIDE, WITH OFFICES IN LOS ANGELES AND NYC.
Facing DOJ Investigation for PPP Loan Fraud: What You Need to Know
The COVID-19 pandemic has created a significant impact on various industries worldwide. To provide relief, the US government established the Paycheck Protection Program (PPP). However, the program’s good intentions were abused, and millions of dollars went to ineligible businesses and individuals who filed false loan applications – hence, the Department of Justice (DOJ) is now actively pursuing charges against PPP loan fraud cases.
The DOJ is working with other federal law enforcement agencies to target all forms of PPP loan fraud, partnering with the U.S. Small Business Administration Office of Inspector General, the Federal Deposit Insurance Corporation Office of Inspector General, the Federal Bureau of Investigation, and the Internal Revenue Service Criminal Investigations. All of them are committed to investigating and prosecuting individuals and businesses that have committed PPP loan fraud.
If you or your business is under investigation for PPP loan fraud, it is crucial to note that the DOJ is taking the matter seriously. The DOJ has filed charges against businesses and individuals that have abused the program, including shell companies’ creation, falsification of payroll information, and false certifications for loan forgiveness. Additionally, some PPP funds recipients have spent the money on personal reasons, which is suspect.
Potential charges for PPP loan fraud can involve tax evasion, false claims act violations, and conspiracy to commit loan fraud, to name a few. To defend themselves, accused individuals and businesses can assert various potential defenses, proving PPP compliance and a lack of intent to defraud, among others.
PPP Loan Fraud Defense Strategies: What You Need to Know
When facing PPP loan fraud charges, defense strategies must be well-planned and specific. Providing proof of PPP compliance, including lawfully obtaining a PPP loan, documenting the appropriate use of PPP funds, among other requirements, is a strong defense. However, doing so requires compliance with proper documentation and must be carefully done to avoid accidentally disclosing incriminating evidence during the process.
Another potential defense involves proving a lack of intent to defraud. Intent to defraud is often a requirement for criminal culpability on a federal level. Therefore, showing that PPP loan acquisition, PPP fund use, and loan forgiveness certification were performed inadvertently and mistakenly can be defenses against PPP loan fraud charges.
Conclusion
PPP loan fraud cases can have significant consequences, including severe penalties and fines. If you or your business is facing DOJ investigation for PPP loan fraud, finding an experienced defense attorney is crucial. Todd Spodek, with years of experience defending clients against criminal charges, is here to help. Contact Todd Spodek today at 888-981-0035 or email info@spodeklawgroup.com to discuss how he can assist with your case.
Very diligent, organized associates; got my case dismissed. Hard working attorneys who can put up with your anxiousness. I was accused of robbing a gemstone dealer. Definitely A law group that lays out all possible options and alternative routes. Recommended for sure.
- ROBIN, GUN CHARGES ROBIN
CALIFORNIA CRIMINAL DEFENSE ATTORNEYS