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The Coronavirus Aid, Relief, and Economic Security (CARES) Act authorizes forgivable PPP loans for small companies experiencing financial uncertainty through the COVID-19 pandemic. In most circumstances, the utmost quantity a small enterprise can obtain is 2.5 occasions the common month-to-month wage. For functions of calculating payroll prices, the CARES Act doesn’t embrace any cost to a person worker in extra of an annual wage of $100,000.
AUSTIN – Freedom Solar LLC, a photo voltaic power firm that installs photovoltaic photo voltaic arrays for residential and business clients, has agreed to pay $425,710 to resolve allegations that it violated the False Claims Act in reference to in a Paycheck Protection Program (PPP) mortgage.
The civil settlement resolved a lawsuit filed below the that is proper or whistleblower provision of the False Claims Act, which permits non-public events to file lawsuits on behalf of the United States for false claims and obtain a portion of the federal government’s restoration. the that is proper captioned the lawsuit United States ex rel. Mossburg v. Freedom Solar, LLC, et al., Case No. 1:23-cv-00908 (WD Tex.).
Freedom Solar utilized for a PPP mortgage in April 2020. The United States alleged that Freedom Solar did not cap the annual wage of a number of staff at $100,000 when calculating the common month-to-month wage. As a end result, Freedom Solar overstated this quantity in its PPP mortgage software, inflicting it to obtain extra PPP funds than it ought to have acquired. Freedom Solar later bought forgiveness of all the quantity of its PPP mortgage.
Claims resolved in arbitration are allegations solely and don’t decide legal responsibility.
Assistant US Attorney Thomas Parnham negotiated the settlement for the federal government.
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