Gregory J. Blotnick, PPP Loan Fraud, New Jersey 2021

NEWARK, N.J. – A dual New York and Florida resident was charged for his role in fraudulently obtaining federal Paycheck Protection Program (PPP) loans totaling $3.8 million, Acting U.S. Attorney Rachael A. Honig and Acting Assistant Attorney General Nicholas L. McQuaid announced today.

Gregory J. Blotnick, 34, of New York City and West Palm Beach, Florida, is charged by complaint with eight counts of wire fraud affecting a financial institution and six counts of money laundering. Blotnick is scheduled to have his initial appearance by videoconference on May 20, 2021, before a U.S. Magistrate Judge.

‘The funds made available through the Paycheck Protection Program are intended to help businesses and their workers get through the financial hardships caused by the COVID-19 pandemic, not to enrich the unscrupulous few who, like this defendant, lie to obtain those funds for their own personal profit,’ Acting U.S. Attorney Honig said.

‘We will continue to protect the viability of important federal programs like these by working quickly to identify, investigate, and prosecute the individuals who see a time of national crisis as an opportunity to commit fraud.’

Blotnick allegedly fraudulently obtained almost $4 million in relief funds reserved for those suffering serious financial harm from the tragic COVID-19 pandemic, and lied about how he would use those funds, placing millions of dollars in losing stock trades.

‘The Justice Department and its law enforcement partners remain committed to aggressively pursuing and holding accountable fraudsters who treat COVID relief programs like a personal piggy bank.’

Gregory J. Blotnick is a 34-year-old resident of New York City and West Palm Beach, Florida.

He is charged with eight counts of wire fraud affecting a financial institution and six counts of money laundering.

Blotnick is scheduled to have his initial appearance by videoconference on May 20, 2021.

The charges against Blotnick reflect a commitment to hold accountable those who attempt to defraud pandemic-related assistance programs designed to aid businesses and employees in these challenging times.

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