Charlotte Company Agrees to Pay Nearly $1.2 Million to Resolve Allegations It Improperly Obtained a PPP Loan
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CHARLOTTE, N.C. –Okaya Shinnichi Corporation of America (Okaya), a steel tubing manufacturer located in Charlotte, has agreed to pay $1,196,421.68 to resolve allegations that it violated the False Claims Act by providing false information to obtain a Paycheck Protection Program (PPP) loan for which it was not eligible, the U.S. Attorney’s Office announced today. This settlement resolves allegations that Okaya misrepresented that it was a small business with less than 300 employees among all affiliates on its application for a second round PPP loan of $478,568.67. Instead, the lawsuit alleged, Okaya was the jointly held U.S. subsidiary of two Japanese corporations, and had multiple affiliates worldwide, totaling well over the 300-employee limit for second round PPP loans. This matter arose