24/7 call for a free consultation 212-300-5196




When you’re facing a federal issue, you need an attorney whose going to be available 24/7 to help you get the results and outcome you need. The value of working with the Spodek Law Group is that we treat each and every client like a member of our family.

Client Testimonials



The BEST LAWYER ANYONE COULD ASK FOR!!! Todd changed our lives! He’s not JUST a lawyer representing us for a case. Todd and his office have become Family. When we entered his office in August of 2022, we entered with such anxiety, uncertainty, and so much stress. Honestly we were very lost. My husband and I felt alone. How could a lawyer who didn’t know us, know our family, know our background represents us, When this could change our lives for the next 5-7years that my husband was facing in Federal jail. By the time our free consultation was over with Todd, we left his office at ease. All our questions were answered and we had a sense of relief.

schedule a consultation


Indiana PPP – SBA – EIDL Loan Fraud Lawyers

March 21, 2024 Uncategorized

Navigating PPP and EIDL Fraud Allegations in Indiana

When COVID-19 hit, the government rolled out big relief programs like the Paycheck Protection Program (PPP) and Economic Injury Disaster Loan (EIDL) program to help small businesses stay afloat. But with billions of dollars flowing fast, some folks saw a chance to take advantage. Now prosecutors are cracking down on fraud cases across the country, including right here in Indiana.If you’re accused of PPP or EIDL fraud, having an experienced legal team can make all the difference. The lawyers at Arnold & Porter in Indianapolis understand how these programs work and the strategies prosecutors use. They can spot weaknesses in the government’s case and build the strongest defense.

What Are Folks Being Charged With?

Prosecutors are aggressively going after PPP and EIDL fraud nationwide. As of June 2022, the Department of Justice reported over 500 people had been charged in federal court for pandemic program fraud totaling over $750 million. They’ve gone after individuals, groups, and crime rings trying to exploit the relief money.Some common allegations include:

  • Lying on PPP or EIDL applications
  • Using PPP funds for unauthorized expenses
  • Applying for multiple PPP loans for one business
  • Applying for PPP loans for fake businesses
  • Applying for more than one EIDL loan
  • Giving false info about employees, revenue, costs to get bigger loans

PPP loans were supposed to go toward payroll, rent, utilities – that kind of thing. EIDL loans were for working capital and operating costs. Prosecutors dig into bank records looking for improper spending.

Building a Strong Defense

A good federal defense lawyer can poke holes in the government’s case. Here are some strategies they might use:

  • Attack flawed applications – Many had inadvertent mistakes or confusing questions. The defense can argue it wasn’t on purpose.
  • Show lack of intent – Prosecutors have to prove you knowingly lied. The defense will say you acted in good faith.
  • Challenge improper spending – Hard to separate PPP money from other revenue. Dispute whether expenses were really unauthorized.
  • Question multiple charges – Each application must be false to stick. Argue some applications were valid.

In one Indiana case, a judge dismissed charges against a Valparaiso businessman accused of PPP fraud, saying prosecutors didn’t prove intent. A good lawyer can make similar arguments to undermine the prosecution.

What About Sentencing?

If convicted of PPP or EIDL fraud, the defense will try to reduce the sentence. Federal fraud sentences follow the U.S. Sentencing Guidelines, which consider things like:

  • Amount of loss
  • Sophistication of the fraud
  • Defendant’s criminal history
  • Leadership role?
  • Accepting responsibility?

The amount of loss drives the guideline range. The defense will scrutinize the prosecution’s loss number and dispute any unfair enhancements. Other arguments for a lower sentence:

  • Overstated harm – Government ultimately recovered most funds or had minimal loss
  • One-time mistake – More lenient if fraud was a one-off, not a pattern
  • Family impact – Judges consider effects on spouse and kids
  • Charity work – Community service and philanthropy can mean lower sentence
  • Health issues – Illnesses and disabilities may justify lower sentence for proper treatment

In December 2022, an Indianapolis woman got just probation for seeking over $500k in fraudulent PPP and EIDL loans. Her lawyer cited health issues and caring for her kids. Understanding these factors is huge for defendants.

Avoiding Civil Liability

In addition to criminal penalties, PPP and EIDL fraud can lead to civil lawsuits under the False Claims Act. This allows whistleblowers to file suits and recover triple damages.To avoid False Claims liability, try to get a deferred prosecution agreement admitting wrongdoing but avoiding conviction. Convictions can be used as evidence of fraud in civil cases later.The lawyers at Phillips & Cohen have extensive experience defending False Claims Act cases. They understand how civil and criminal matters intersect and can help mitigate liability.

How a Lawyer Can Help

Having an experienced fraud defense lawyer makes all the difference. They can identify weaknesses in the prosecution’s case and present persuasive arguments to undermine the charges. For anyone facing PPP or EIDL fraud accusations in Indiana, building the strongest defense possible is critical. The stakes are high, but the right legal team can help navigate this complex process and achieve the best possible outcome.

Lawyers You Can Trust

Todd Spodek

Founding Partner

view profile



view profile


Associate Attorney

view profile



view profile



view profile



view profile



view profile

Criminal Defense Lawyers Trusted By the Media

schedule a consultation
Schedule Your Consultation Now