ppp loan fraud lawyers
Funds Depleted in Minutes
Even though the PPP was allocated nearly $350 billion to provide to businesses, this large amount of money was literally depleted in only a matter of minutes. Since thousands of businesses across the country needed assistance, demand was at an all-time high. However, due to the program being put together at the last-minute and much confusion surrounding the various rules and regulations that accompanied it, many business owners had little if any idea if they were applying for these loans in the correct manner. For those who did not, the federal government is now often accusing them of fraud. If you believe you made a honest mistake during your loan application process and are now being threatened with federal fraud charges, meet with PPP loan fraud lawyers as soon as possible to determine your next move.
Since PPP funding was depleted so fast, the U.S. Treasury Department is working closely with lenders across the country to determine how many acts of PPP loan fraud may have occurred. Along with the extensive government database that tracks all PPP loans distributed to businesses, the Treasury Department is also seeking input from lenders as to where they feel fraud may have occurred. Thus, if your lender gives the slightest hint to federal investigators that you may have committed fraud, it is likely you will be getting a visit from federal agents or written communication from the U.S. Attorney General’s Office. If either of these should happen, don’t make the mistake of assuming you are automatically going to prison and thus start talking to investigators. Instead, make sure your constitutional rights are protected each step of the way by meeting with and hiring highly-skilled PPP loan fraud lawyers.
Examples of PPP Fraud
When the federal government is accusing you of PPP loan fraud, they may point to many different types as examples. One of the most popular at the moment for investigators is when business owners are accused of getting PPP loans from several different lenders, a practice the government has named “loan stacking.” Though illegal, it does not necessarily mean a business owner who did so had criminal intent. Due to the confusing rules and regulations of the PPP, some business owners may have put in applications with multiple lenders to increase their chances of receiving financial assistance. If this is the situation you now find yourself in, don’t let federal investigators intimidate you into being convicted of a crime for which you had no intention of committing. By hiring PPP loan fraud lawyers who have extensive experience dealing with federal prosecutors, you will have a much better chance of seeing your case resolved with only a minimum of penalties.
Misrepresenting the Facts
While “loan stacking” is currently the most popular PPP loan fraud crime on the federal government’s radar, there are other areas where federal agents are investigating and accusing companies of fraud. This can include accusations that you deliberately misrepresented the facts on your loan application in order to ensure you would receive funds. But again, appearances can be deceiving. In many instances, business owners did not understand certain rules, such as how many employees they needed to have to be eligible for the PPP, what expenses the funds could be spent on, and other factors. Unfortunately, government agents will not take the time to listen to your side of the story. Instead, they will be eager to press charges against you to show they are doing their job. If you want to make sure you are not caught up in a legal whirlwind that leaves your finances and reputation ruined, hire PPP loan fraud lawyers to act on your behalf.
Prison and Fines
Finally, should investigators and prosecutors decide to target you for alleged PPP loan fraud, you will hear plenty of talk from them about the large fines and long prison sentence you may get once a judge hears the case. In doing so, they are hoping to scare you enough to admit you willfully committed fraud. Should these individuals want to question you about anything related to your PPP loan, be as polite as possible when declining their invitation. In doing so, inform them that while you certainly have nothing to hide, you will not speak to them until you have discussed the matter with your PPP loan fraud lawyer and can have your attorney present during interviews.
With more and more negative publicity surrounding the PPP, federal authorities will be doing all they can to place blame on anyone but themselves. Thus, if the federal government is trying to charge you with a crime you did not commit, immediately consult with PPP loan fraud lawyers.