A Houston man, Lee Price III, allegedly collected $1.6 million in Paycheck Protection Program (PPP) relief funds on account of two businesses with no known employees, and purchased a Lamborghini Urus, a Rolex watch, and real estate among other extravagant personal...
Bankruptcy Fraud: New Wave of Prosecutions
The affect of the COVID-19 pandemic has undoubtedly disrupted businesses across the nation and has caused financial instability, which will lead to an unprecedented amount of bankruptcy filings. It is foreseeable that there will also be an uptick in bankruptcy fraud...
Market Manipulation/Fraud with FINRA on the Beat
The Financial Industry Regulatory Authority (“FINRA”) has seen a significant rise in market manipulation alerts and fraud reports during the COVID-19 pandemic. FINRA is working on improving coordination and transparency in its enforcement efforts as well as its use...
COVID FRAUD UPDATE: Hollywood Film Producer Charged with COVID-19 Fraud
A Hollywood producer is the latest in a string of arrests made in the U.S. Justice Department’s efforts to locate and prosecute COVID-19 fraud. William Sadleir of Beverly Hills is accused of making false statements on his Payroll Protection Program application and...
Texas COVID-19 Relief Fraud Charged
On May 13, 2020, the Eastern District of Texas U.S. Attorney change an individual with allegedly attempting to receive over $ 10 million dollars of Small Business Administration loans under the CARES Act. The allegations are that the defendant sought the SBA funds...
What is Payroll Protection Program Loan Fraud?
By Philip Hilder In response to the COVID-19 crisis, the PPP Loan (as part of the CARES Act) was passed in part to protect employees and small business by assisting with two and a half months of payroll and other overhead expenses. The guidelines, while evolving, lay...
What Types of Financial Fraud Will Increase During the COVID-19 Pandemic?
The Texas Securities Board (TSB) has issued an investor alert and guidance to protect the public from white-collar criminals and fraudsters from exploiting the unprecedented COVID-19 pandemic for financial gain. Fraudsters will use recent events to lure investors into...
Prosecution under the Covid-19 Paycheck Protection Program
By Philip Hilder April 5, 2020 The Coronavirus Aid Relief and Economic Security (CARES) ACT provides $350 billion to assist small businesses in keeping their workers employed during the pandemic crises. The Paycheck Protection Program (PPP) is administered by the...
DOJ Prioritizes Prosecution of COVID-19 Fraud
The Department of Justice (DOJ) has prioritized the detection, investigation, and prosecution of illegal fraud relating to the COVID-19 pandemic. The DOJ has made clear that it will not tolerate fraudsters who take advantage of Americans’ fear and exploit the...
The penalties you can expect from committing mortgage fraud
Mortgage fraud continues to become more and more prevalent. In the 2018 fiscal year, the sentencing commission--which analyzes sentencing data--received almost 70,000 cases. Close to 3% of that those cases involved mortgage fraud. Although this may not sound like...
