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ARTICLE · 27 MAY 2020

DOJ Brings First Payroll Protection Program-Related Criminal Case

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On Tuesday, May 5, the Department of Justice (DOJ) filed charges in the federal District Court of Rhode Island against David A. Staveley and David Butziger for conspiracy...

United StatesCriminal Law
Foley Hoag LLP
Foley Hoag LLP
Christian Garcia
Christian Garcia
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On Tuesday, May 5, the Department of Justice (DOJ) filed charges in the federal District Court of Rhode Island against David A. Staveley and David Butziger for conspiracy to make a false statement and conspiracy to commit bank fraud in connection with loan applications made under the federal government's Payroll Protection Program (PPP).  The Complaint alleges that Staveley of Andover, Massachusetts, and Butziger of Warwick, Rhode Island, misrepresented that they were seeking to use over $500,000 in PPP loans to pay wages to dozens of employees at four different business entities.  After an investigation, federal authorities discovered Staveley's and Butziger's loan applications were a sham.

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