Lancaster Medical LLC agrees to pay $500,000 to resolve allegations related to Paycheck Protection Program eligibility
Excerpt
BUFFALO, N.Y. – The U.S. Attorney’s Office announced today that Lancaster Medical LLC, a former medical practice located in Depew, NY, has agreed to pay $500,000 to resolve allegations arising under the False Claims Act (FCA), that it fraudulently obtained a Paycheck Protection Program (PPP) loan from the U.S. Small Business Administration (SBA), which it was not eligible to receive. This action is part of the Trump Administration’s Task Force to Eliminate Fraud. Lancaster Medical LLC applied for and received a PPP loan in April of 2020, which was fully guaranteed by the SBA in the amount of $249,290. The United States alleges that Lancaster Medical LLC violated the FCA by falsely certifying its eligibility for the PPP loan. Lancaster Medical LLC was not eligible for the PPP loan because i