• Qui Tam
  • SEC
  • CFTC
  • FCPA
  • Whistleblower Resources
  • FAQS
Subscribe
Donate
No Result
View All Result
Whistleblower Network News
The Truth at Any Cost.
Qui Tam, Compliance and Anti-Corruption News.
SIGN THE PETITION FOR NATIONAL WHISTLEBLOWER DAY IN 2023
Whistleblower Network News
  • Qui Tam
  • SEC
  • CFTC
  • FCPA
  • Whistleblower Resources
  • FAQS
Subscribe
Donate
No Result
View All Result
Whistleblower Network News
No Result
View All Result
Home Government

Duct Cleaning Company To Pay $30,000 To Settle Allegations of PPP Loan Fraud; Whistleblower To Receive Award 

Ana PopovichbyAna Popovich
October 29, 2021
in Government
Reading Time: 4 mins read
A PPP loan application on a clipboard with a calculator and a book sitting above it
Share on TwitterShare on FacebookShare on LinkedInEmail

A duct cleaning company based in Florida agreed to pay $30,000 in damages and civil penalties to settle allegations that it obtained more than one Paycheck Protection Program (PPP) loan, in violation of the False Claims Act.

According to an October 28 Department of Justice (DOJ) press release, Sextant Marine Consulting LLC (Sextant) “also repaid the duplicative PPP funds in full to its lender,” which relieved the Small Business Administration (SBA) “of liability to the lender for the federal guaranty of approximately $170,000 on the improper loan.”

The PPP is part of the Coronavirus Aid, Relief, and Economic Security (CARES) Act, which was signed into law on March 27, 2020. PPP aimed “to provide emergency financial support to the millions of Americans suffering the economic effects” brought on by the pandemic, the DOJ press release explains. The Act distributed “billions of dollars in forgivable loans” to small businesses, and loan applicants “were required to certify that they would not receive more than one PPP loan prior to Dec. 31, 2020.” According to the press release, “this settlement resolves allegations that Sextant applied for and received a second, duplicative PPP loan in 2020.”

Support Whistleblower Network News

The settlement “includes the resolution of a claim brought under the qui tam or whistleblower provisions of the False Claims Act.” The whistleblower, J. Bryan Quesenberry, will receive $4,500 for their disclosures. According to the DOJ, “[t]he matter remains under seal as to allegations against entities other than Sextant.”

Under the False Claims Act’s qui tam provisions, individuals can file lawsuits on behalf of the government and “receive a portion of the total money recovered as a reward for the risk and damages they assume by doing so,” previous WNN reporting states. In all qui tam cases, the government has the option to take over the case and deploy their resources to pursue the litigation.

“PPP loans were intended to provide critical relief to small businesses so that they could retain employees and keep their doors open,” said Acting Assistant Attorney General Brian M. Boynton of the Justice Department’s Civil Division in the press release. “We will ensure that those who improperly obtain federally guaranteed PPP loans are held accountable.”

“The Paycheck Protection Program is intended to provide a lifeline to the nation’s small businesses and its employees” Inspector General Hannibal “Mike” Ware of the SBA Office of Inspector General (OIG) said. “OIG will aggressively investigate allegations of wrongdoing in SBA’s pandemic response programs. I want to thank the Department of Justice for its dedication to achieving this settlement.”

“The settlement in this matter demonstrates the excellent results achieved through the combined efforts of SBA and the Department of Justice to uncover and forcefully respond to Paycheck Protection Program fraud,” said General Counsel Peggy Delinois Hamilton of the SBA Office of the General Counsel. “SBA is strongly committed to identifying and aggressively pursuing instances of fraud perpetrated by those taking advantage of SBA COVID-19 assistance programs.”

The end of the press release mentions the COVID-19 Fraud Enforcement Task Force, which Attorney General Merrick Garland established on May 17. The Task Force aims to combat COVID-19 fraud and includes several DOJ entities, as well as other governmental agency partners like the Department of Labor, Small Business Administration, Department of the Treasury.

In a memo announcing the task force, Garland said that the DOJ “will use every available federal tool—including criminal, civil, and administrative actions—to combat and prevent COVID-19 related fraud. We look forward to working with our federal government colleagues to bring to justice those who seek to profit unlawfully from the pandemic.”

The DOJ’s press release about Sextant’s settlement reminds the public how to report “potential fraud affecting COVID-19 government relief programs.” Individuals can learn more about reporting fraud against the federal government here, and “[a]nyone with information about allegations of attempted fraud involving COVID-19 can also report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.”

Read the DOJ press release here.

Read more False Claims Act/qui tam news on WNN.

Read more COVID-19 whistleblower news on WNN.

Tags: CoronavirusCOVID-19COVID-19 whistleblowerDepartment of Justice
Previous Post

The Road to Sustainable Development is Paved with Good Intentions

Next Post

Whistleblower Receives Over $2 Million SEC Award

Ana Popovich

Ana Popovich

Ana Popovich is a contributing editor with Whistleblower Network News, where she writes about breaking whistleblower news, healthcare fraud whistleblowers, and Covid-19 fraud whistleblowers. Ana has a B.A. in English from Georgetown University. While at Georgetown, she was the marketing chair of an affinity group and wrote content for the McDonough School of Business’ Business for Impact program. In 2018, Popovich was a public interest legal intern at the whistleblower law firm Kohn, Kohn and Colapinto. 

Next Post
U.S. Securities and Exchange Commission building

Whistleblower Receives Over $2 Million SEC Award

Receive Daily Alerts

Subscribe to receive daily breaking news and legislative developments sent to your inbox.

  • This field is for validation purposes and should be left unchanged.

Most Popular

WNN Exclusive Interview with Social Security Whistleblowers Sarah Carver and Jennifer Griffith — Part 2

Change the Culture, Make National Whistleblower Day Permanent

Tell President Biden to “Finish the Job” for Whistleblowers

Whistleblower Advocates See Parallels to Enron in Silicon Valley Bank Collapse

Whistleblower Jóhannes Stefánsson Plans to Testify at Fishrot Trial in Namibia

WNN Exclusive Interview with Social Security Whistleblowers Sarah Carver and Jennifer Griffith — Part 1

Whistleblower Poll

Whistleblower Poll
Whistleblower Poll

Exclusive Marist Poll: Overwhelming Public Support Among Likely Voters For Increased Whistleblower Protections

byGeoff Schweller
October 6, 2020

ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT

STAY INFORMED.
Subscribe to receive breaking whistleblower updates.

  • This field is for validation purposes and should be left unchanged.

About Us

  • About
  • Contact Us
  • Donate
  • Careers

Subscribe

  • Daily Mail
  • Follow us on Twitter
  • YouTube Channel

Contribute

  • Letter to the Editor
  • Submission Guidelines
  • Reprint Guidelines

Your Experience

  • Accessibility Statement
  • Privacy Policy
  • Terms of Use

Help

  • The Whistleblowers Handbook
  • Frequently Asked Questions
  • Advertise
Whistleblower Network News

Whistleblower Network News is an independent online newspaper providing our readers with up-to-date information on whistleblowing. Our goal is to be the best source of information on important qui tam, anti-corruption, compliance, and whistleblower law developments. 

Submit an Article

Copyright © 2021, Whistleblower Network News. All Rights Reserved.

This Newspaper/Web Site is made available by the publisher for educational purposes only as well as to give you general information and a general understanding of the law, not to provide specific legal advice. By using this website, you understand that there is no attorney-client relationship between you and the Newspaper/Web Site publisher. The Newspaper/Web Site should not be used as a substitute for competent legal advice from a licensed professional attorney in your state.

SIGN THE PETITION FOR NATIONAL WHISTLEBLOWER DAY IN 2023
No Result
View All Result
  • Exclusives
  • Government
    • False Claims-Qui Tam
    • Federal Employees
    • Intelligence
  • Corporate
    • CFTC & Commodities
    • Dodd-Frank
    • IRS & Tax
    • SEC & Securities
  • Features
  • Legislation
  • International
    • Foreign Corruption
  • Rewards
  • Whistleblower of the Week
  • Environment & Climate
  • Opinion
  • Editorial
  • Employment
    • Sarbanes-Oxley Whistleblowers
    • Retaliation
    • OSHA
  • Media
    • Podcasts
    • Videos
    • Webinars
    • National Whistleblower Day
  • Whistleblower Poll
  • Whistleblower Resources
    • Frequently Asked Questions
    • Resources for Locating An Attorney
    • The New Whistleblowers Handbook
  • National Whistleblower Day ’23

Copyright © 2020, Whistleblower Network News. All Rights Reserved.

Become a Whistleblower Network News Subscriber

Login to your account below

Forgotten Password? Sign Up

Create New Account!

Fill the forms below to register

All fields are required. Subscribe to WNN

Retrieve your password

Please enter your username or email address to reset your password.

Subscribe to WNN

Add New Playlist

Go to mobile version