Electronic Monitoring in Federal PPP and EIDL Fraud Prosecution

February 2026

Our client, a federal employee, was indicted as part of a scheme to defraud the Small Business Administration and various lenders by submitting false and fraudulent applications for loans under the PPP and EIDL program resulting in a financial loss of more than $200,000.  Although originally charged in a six-count indictment, our client entered a guilty plea to a single charge of wire fraud and five felony counts were dismissed as part of the negotiated plea. Although the Government sought and the United States probation recommended a prison sentence, the court adopted the defense position of electronic monitoring.