HOUSTON – In a brazen attempt to rip off the system, Viking Life-Saving Equipment (America) Inc. has agreed to pay $3.86 million to settle allegations it fraudulently obtained paycheck protection program (PPP) loans, announced U.S. Attorney Nicholas J. Ganjei.
Viking Life-Saving Equipment, a marine equipment company headquartered in Miami, Florida, with operations in Pasadena, Texas, is a subsidiary of Denmark-based Viking Life Savings Equipment A/S. The company provides maritime and offshore safety equipment and services, including lifeboats, life rafts, personal protective gear and safety training programs.
From April 24, 2020, to Nov. 11, 2021, Viking applied for two PPP loans and requested forgiveness for both. The PPP, created under the Coronavirus Aid, Relief and Economic Security (CARES) Act, offered forgivable loans to small businesses during the COVID-19 pandemic for employee payroll and certain other expenses. Eligible companies were required to have fewer than 500 employees or meet industry-specific size limits.
But Viking allegedly had other plans. Under the Small Business Administration (SBA) affiliation rules, businesses with shared ownership or control had to include all affiliated employees when calculating eligibility. Viking allegedly misrepresenting the total number of its own employees and those of its affiliates, falsely certified eligibility on the dates of the relevant loan application materials to receive PPP funding and loan forgiveness.
The claims resolved by the settlement are allegations only and there has been no determination of liability. Assistant U.S. Attorney Paul B. Moore handled the matter in coordination with Attorney Amber Perez, SBA – Office of General Counsel.
The company’s decision to settle the allegations is a clear indication of its guilt. By paying $3.86 million, Viking Life-Saving Equipment Inc. is essentially admitting to its wrongdoing and agreeing to make amends. This is a stark reminder that the U.S. Attorney’s office will not tolerate such behavior and will continue to hold companies accountable for their actions.
This case serves as a warning to other companies that may be tempted to engage in similar behavior. The U.S. Attorney’s office will continue to investigate and prosecute companies that engage in PPP loan fraud, and those found guilty will face severe consequences.
Viking Life-Saving Equipment Inc.’s actions are a betrayal of the trust placed in it by the American people and the U.S. government. By settling the allegations, the company is taking a step in the right direction, but it is not enough. The company must take responsibility for its actions and work to prevent such behavior in the future.
Related Federal Cases
- Pipeline Spill Costs Explorer $3.3 Million · Texas
- Acid Plant Pollution: $12M Fine, 3K Tons Cut · Oklahoma
- SC Doctor Admits Tax Fraud, Faces Prison · South Carolina
- FDIC Taps Bankers for MDI Oversight Amidst Community Bank Concerns · Washington
- Live Nation & Ticketmaster Face Antitrust Fight in NY · Washington
Key Facts
- State: Texas
- Agency: DOJ USAO
- Category: White Collar Crime
- Source: Official Source ↗
🔒 Get the grimiest stories delivered weekly. Subscribe free →
Browse More
