Paycheck Protection Program

The Justice Department settled with the International Union of Journeymen and Allied Trades (IUJAT) and the Home Healthcare Workers of America (HHWA) for $3.85 million over improperly obtaining Paycheck Protection Program loans during the pandemic. The unions allegedly applied for funds they were ineligible for as labor unions, despite federal restrictions excluding them from the program.

The FBI captured Elaine Escoe, a suspect accused of submitting 90 fake applications for $32 million in Paycheck Protection Program funds. She fled the U.S. after her May arrest and skipped a June court appearance but was arrested in Jamaica with local authorities' help before being returned.

Attila Colar's 2023 conviction on 44 felony charges related to a $1 million COVID benefit fraud scheme was overturned by the 9th Circuit Court of Appeals due to a juror with disqualifying bias being allowed to participate in his trial. The court ruled the conviction invalid and ordered a retrial, citing the juror's inability to remain impartial after reacting negatively to Colar's claims about law enforcement bias.

Ozaukee Country Club agreed to pay $750,000 to settle alleged violations of the False Claims Act related to a Paycheck Protection Program loan. The settlement addresses claims tied to the club's handling of the PPP loan.

The FBI has added Elaine Escoe, a South Florida woman, to its Most Wanted Fraudster list for allegedly orchestrating a $32 million scheme involving fraudulent Paycheck Protection Program applications. She faces charges including wire fraud and money laundering, with a reward of up to $150,000 offered for information leading to her arrest.

Six individuals, including family members, are charged with fraudulently obtaining nearly $11 million through pandemic relief programs and a construction loan by submitting falsified documents. The alleged scheme involved the Paycheck Protection Program (PPP) and Economic Injury Disaster Loan (EIDL) programs between April 2020 and October 2022.

A former NYPD detective from Valley Stream was sentenced to 48 months in federal prison for wire fraud conspiracy related to a Paycheck Protection Program fraud scheme. The individual, along with two co-defendants, submitted false loan applications to defraud the Small Business Administration, resulting in restitution and forfeiture orders.

John Bolden, a detective with the New York City Police Department, was sentenced to 48 months in prison for wire fraud conspiracy related to a Paycheck Protection Program fraud scheme. He was ordered to pay $303,138 in restitution and $112,002 in forfeiture.

A Southern California man defrauded the government of over $4 million through a scheme involving Paycheck Protection Program loans. He was identified as Philip Frederick Camino and was sentenced to prison for the fraud.

The U.S. Attorney’s Office in the District of South Carolina announced settlements totaling over $7.9 million to resolve allegations that companies violated the False Claims Act by submitting false information to obtain ineligible Paycheck Protection Program (PPP) loans exceeding $5 million.

A father and son from Elmer, New Jersey, admitted to income tax evasion, failing to pay payroll taxes to the IRS, and fraudulently obtaining a Paycheck Protection Program loan. The individuals were contractors who committed these offenses during the COVID-19 pandemic.

A man from Sussex County, New Jersey, was convicted for fraudulently obtaining over $2.1 million in Paycheck Protection Program (PPP) funds and Economic Injury Disaster Loans (EIDL) and laundering the proceeds.

Manufacturing companies have agreed to pay $2.5 million to resolve allegations of improperly obtaining Paycheck Protection Program (PPP) loans. This settlement addresses violations related to the federal COVID-19 relief program designed to help businesses maintain payroll during the pandemic.

Jamar Johnson pleaded guilty to defrauding over $1 million from the Paycheck Protection Program (PPP) by falsely claiming to operate an amateur basketball league. He used the funds for personal expenses, including cryptocurrency and foreign transfers, impacting small businesses during the pandemic. The case involved the Department of Homeland Security and the SBA's fraud investigations.

Nathan Reis and Stephanie Hockridge, co-founders of a PPP loan service provider, have been charged with submitting fraudulent COVID-19 relief loan applications for themselves and their businesses. The duo, based in Puerto Rico and formerly from Arizona, allegedly exploited their position as administrators of the Paycheck Protection Program to commit fraud.