COVINGTON, Ky. (WKRC) - Two Erlanger-based manufacturing companies agreed to pay $2.5 million to settle allegations they improperly obtained pandemic-era Paycheck Protection Program loans, federal officials said.
Post Glover Lifelink Inc. and Post Glover Resistors Inc. resolved allegations they violated the False Claims Act by falsely certifying eligibility for second-draw PPP loans and loan forgiveness.
According to the U.S. government, the companies and their foreign affiliates collectively employed more than 300 workers, making them ineligible under PPP rules.
The Paycheck Protection Program was created by Congress during the COVID-19 pandemic to help small businesses cover payroll and operating expenses through forgivable federally backed loans.
Federal officials said the companies cooperated fully with the investigation.
The settlement also resolves a whistleblower lawsuit filed under the False Claims Act’s qui tam provisions, which allow private citizens to sue on behalf of the government and receive a share of any recovery.
COVINGTON, Ky. (WKRC) - Two Erlanger-based manufacturing companies agreed to pay $2.5 million to settle allegations they improperly obtained pandemic-era Paycheck Protection Program loans, federal...