call for a free consultation 212-300-5196

AS SEEN ON

PPP Loan Fraud Attorneys

The Spodek Law Group is one of the top rated federal law firms. We understand when you're facing legal issues, you need a law firm you can count on.

Todd Spodek - Mentioned in The Media

watch more videos

PPP Loan Fraud Attorneys

Why You Need A PPP Loan Fraud Lawyer

If you received a loan from the Paycheck Protection Program in 2020, you no doubt used it to keep your business afloat. However, due to many accusations of fraud being tossed about by federal investigators and lenders across the country, there is a chance federal prosecutors could at some point decide to charge you with PPP loan fraud. Should this happen, it will be imperative you immediately hire a PPP loan fraud lawyer who has an in-depth knowledge of the CARES Act and PPP to make sure your rights are protected throughout the process. Otherwise, you could find yourself not only being threatened with fines and prison, but possibly being convicted of a crime you did not commit.

Aggressive Tactics
Because the PPP ran out of its $350 billion much faster than anyone anticipated, the government has basically decided tremendous amounts of fraud have taken place across the United States. This is bad news for business owners who were recipients of PPP loans, since they are undoubtedly under much greater scrutiny regarding their financial activities. As a result, investigators and prosecutors are scrambling to not only look over the PPP loan information contained in government databases, but are also trying to examine any large purchases made by PPP recipients in 2020. Thus, even if you got a PPP loan and used the funds in the proper manner, you may be facing allegations of fraud if you also made a large purchase shortly after getting your money. For example, if you bought a new car or home, the government will look very closely at how you paid for these items. If you are being aggressively pursued by the federal government over how you used your PPP funds, speak to a PPP loan fraud lawyer who can examine your case, explain possible scenarios, and put your mind at ease.

Chaos and Confusion
While the federal government is trying to blame business owners for misusing PPP loans, the reality is that the federal government itself is to blame. By putting the program together in haste, failing to clearly convey the rules and regulations surrounding how PPP loans were to be applied for and used, and other areas that were not well-thought-out beforehand, business owners have had little guidance from the very beginning. Yet despite this, government investigators and lawyers have tried to pressure business owners into admitting they committed fraud. Should you give in to this pressure and even hint that you may have committed fraud of any kind regarding your PPP loan, the government will seize on this and file charges against you. To avoid this scenario and legal headaches that will follow, hire a PPP loan fraud lawyer as soon as you receive word you are under investigation.

Feedback from PPP Lenders
While the federal government would no doubt be looking at possible PPP loan fraud due to the speed at which the $350 billion in funds were depleted, they are also doing so based on information they are receiving from banks and other lenders. As the U.S. Treasury Department has asked for feedback from lenders nationwide about how the program worked, many banks are telling investigators they believe many loan applications may have been fraudulent. Because of this, chances are your PPP loan application is undergoing a second look from Treasury Department officials. Unfortunately, federal fraud charges could soon follow. For example, if you were not clear regarding PPP rules and stated incorrect information regarding the number of employees you have, your payroll expenses, or other areas, this could be construed as an attempt to defraud the government. Should you be contacted by investigators and threatened with fraud charges, don’t feel as if you need to immediately start talking to authorities. In fact, your next step should be to contact a PPP loan fraud lawyer so they can take over any communications with the federal government.

PPP Audits and Investigations
In many cases before fraud charges are brought against a company by the federal government, the company will have an audit of its PPP funds done by the FBI, Department of Justice, or other federal agencies. While this will be unnerving, there are certain things you should remember. First, try not to make false statements or withhold any information you are required by law to disclose to federal investigators, since this can lead to charges of fraud and other crimes being levied against you. However, also be sure not to incriminate yourself by revealing information that could be potentially harmful to your case. Since it can be very tricky trying to figure out what you should or should not say to investigators in these situations, don’t try to go it alone and make mistakes that create an even worse situation than the one you are now facing. By contacting a PPP loan fraud lawyer immediately upon being notified on an upcoming audit, you can be much better prepared when federal investigators come calling.

Even if you are glad to have received a PPP loan and feel as if you applied for and used whatever funds you received correctly, that may not stop federal agents and prosecutors from making serious allegations against you. If and when this happens, don’t expect them to change their minds and let you off the legal hook. To ensure your case is resolved to your satisfaction, schedule a consultation today with a PPP loan fraud lawyer.

PPP Loan Fraud Attorneys

Request Free Consultation

Please fill out the form below to receive a free consultation, we will respond to your inquiry within 24-hours guaranteed.

  • By filling out our form, you give us permission to email you, and communicate with you via e-mail, in the future through email marketing campaigns.
Call Now Button