Check Out These Three Cases Involving SBA loan fraud activity, as reported by SBA’s Inspector General
March 4, 2013
A Louisiana couple obtained an SBA-guaranteed loan for $560,000 to purchase a furniture store.
They have been arrested for misrepresenting the value of the collateral for the loan; selling the collateral without the lender’s knowledge and falsifying their personal financial statements.
A Virginia man pled guilty to making false statements on a $1.7 million SBA loan application.
The fraudster collaborated with the owner to prepare, manipulate, and submit false, fraudulent, and misleading financial documents, packing lists, commercial invoices and bills of lading to a bank and the SBA.
And in Alabama another false equity injection scheme leads to guilty plea in a $1.5 million early default SBA loan.
The $260,000 equity injection was actually paid by the seller. Specifically, the buyer and seller created and submitted false bank statements, checks, and certificate of deposit receipts to represent that the funds used to pay the equity injection were originally a gift from the buyer’s grandmother.