PPP Loan Fraud Law Firm Helping Whistleblowers Nationwide
Report PPP Loan Fraud Under the False Claims Act for a Potential Whistleblower Award
If you suspect an employer or financial institution has abused the Paycheck Protection Program (PPP) you should speak with a whistleblower law firm like Brown, LLC to understand your rights about how to properly file a claim under the False Claims Act. By filing a False Claims Act lawsuit the correct way through experienced whistleblower attorneys, you can potentially receive a significant whistleblower award for reporting PPP loan fraud.
An employer could engage in PPP loan fraud by falsifying its payroll to obtain extra funds it’s not entitled to, by using those funds for personal benefit instead of keeping employees on payroll, and by seeking forgiveness of the loan while falsely claiming it kept employees that were laid off. Financial institutions may also engage in fraud by approving PPP loans they knew or should have known were fraudulent.
The False Claims Act is designed to incentivize private individuals to blow the whistle on fraud upon the government. Under the Act, a successful whistleblower can receive up to 30% of what the government recovers. With the country reeling from the pandemic, unscrupulous individuals inevitably (and immediately) swooped in to steal some of the hundreds of billions of dollars the government made available through the PPP to keep businesses afloat. It’s estimated that billions of dollars have been fraudulently claimed, and numerous individuals have already been prosecuted. Fraudsters have been lining their own pockets and firing up Lamborghinis at the expense of American taxpayers.
There’s a right way and a wrong way to report PPP fraud. If you report it directly to the government without filing a False Claims Act lawsuit through a whistleblower law firm, you won’t receive any financial award even if the case is successful. The Department of Justice is prioritizing the investigation of PPP Loan Fraud and is eager to work with whistleblowers and qui tam attorneys who have experience in litigating through the False Claims Act.
Characteristics of PPP Fraud
- Company falsified it’s payroll reports to receive a higher PPP loan
- Company double counts its payroll through more than one company
- Individual fabricates a bogus company to receive a PPP Loan
- Bank approves loan applications it knows are false
- Bank approves loans based on false documents
How to tell if your employer has committed PPP Loan Fraud?
First, find out whether your employer has received a PPP loan. There are various public databases you can consult, and the whistleblower lawyers at Brown, LLC can assist you free of charge in ascertaining that information. However, in order to build a successful PPP fraud case under the False Claims Act, you’ll need insider information that the company either falsified certain documents to receive an unduly large loan and/or falsified their request for loan forgiveness by falsely claiming they used the funds to retain employees when in fact they reduced the size of the workforce.
Mere suspicion that the company obtained a loan when it didn’t need the money is probably not enough for a case if the money obtained was used to keep employees on payroll during the pandemic.
How PPP loans affect employees
Even though PPP loans are granted to employers, the loans are basically designed to aid employees. 75% of PPP loan funds was meant to go straight to employee payroll costs. Most employees might not even know that PPP loan funds are actually for their benefit, and some employers take advantage of their employees’ ignorance. If your company has received a PPP loan, they are expected to account for how they spend those funds.
In order to build a successful PPP fraud case, you’ll need evidence that supports your allegations that your employer misrepresented payroll data to obtain a PPP loan, or that your employer misused PPP funds.
Brown, LLC helps clients bring actions against all kinds of PPP fraudsters.
If you suspect a company or a financial institution has committed PPP loan fraud, you should speak with Brown, LLC for a free consultation. Learn your rights by calling (877) 561-0000.
How do I report the PPP Loan Fraud Lawsuit?
If you suspect a company or a financial institution has committed PPP Loan Fraud, you should speak with a whistleblower law firm like Brown, LLC for a free whistleblower consultation to learn your rights by calling (877) 561-0000.