Banking and the financial industries are some of the most federally regulated areas, especially if it is linked to financial programs designed to help distribute money to businesses and individuals during a national crisis, such as the COVID-19 Pandemic. When the Coronavirus Aid, Relief, and Economic Security (CARES) Act was passed, there was nearly $250 billion in federal funding assigned to the Paycheck Protection Program (PPP). Its sole purpose was to help small to medium-sized businesses that were negatively impacted by the COVID-19 pandemic survive and pay their bills. The Federal Government also passed the Economic Injury Disaster Loan (EIDL) program, which is another source of funding for small businesses. If you received any of these SBA Loans, PPP or EIDL and are now being prosecuted for fraud, we can help you handle your case.

Don’t Wait To Seek Legal Representation If You’re Being Prosecuted For SBA Loan Fraud or PPP/EIDL Fraud

Federal Defense Attorney Michael J. Petro can help you if you’re being prosecuted for SBA Loan Fraud, whether fairly or not. The CARES Act pumped billions of dollars into circulation with very little oversight and often confusing guidelines on who was and wasn’t qualified to receive funding. Now, the government is cracking down on those they feel wrongfully received PPP or EIDL, and if you or your business are the targets of law enforcement, you need to seek federal criminal defense help immediately.

Could You Be Facing Bank Fraud Charges As A Result of Your SBA Loans?

To identify bank fraud all federal loan programs are governed by legal requirements to obtain the funding. PPP & EIDL programs are no exception to this. If the government feels that you misrepresented, submitted documentation with deliberate or unintentional errors, or omissions that wrongfully lead to the approval and receipt of PPP or EIDL funding, you may face federal bank fraud charges.

Material Misrepresentations on SBA Loan Applications

One of the biggest ways you can get in trouble is to have lied on your application to meet the criteria for the PPP or SBA EIDL programs. Many businesses may have not quite fit the designated requirements, and some may have falsified information on their PPP or EIDL applications to meet the criteria and receive the assistance. If you are being prosecuted for misrepresenting your business information on your application, you need to seek federal criminal legal counsel. Misrepresentation of information on your application is one of the most likely reasons you will face prosecution for SBA Loan Fraud.

Multiple Loans or Loan Stacking

Another common reason to be under investigation for SBA Loan Fraud is “loan stacking”. In other words, filing multiple applications for loans or funds and accepting the money from both of them. During the COVID-19 pandemic, it wasn’t uncommon for small businesses to be confused about the PPP or EIDL Process, and the funding was hard to get a hold of until more funding was issued. Many small businesses had to apply for PPP loans through multiple lenders to try to secure funding, and some may have knowingly or unknowingly accepted funds from multiple lenders, essentially double-dipping.

What Should You Do If You Or Your Business Is Facing SBA Loan Or PPP Load Fraud Charges?

The first thing you should do if you or your business are facing federal loan fraud charges for SBA Loans, PPP or EIDL you should immediately seek knowledgeable federal criminal defense counsel. Federal loan rules and requirements are difficult to understand, and Michael J Petro can help you navigate your case and settle on the best possible outcome. Protect your business, and protect yourself, contact a federal criminal defense attorney with experience in SBA Loan fraud cases.