SPRINGFIELD, Mo. (Edited News Release/KY3) - A federal grand jury indicted a Springfield business owner for fraudulently obtaining $316,062 in Paycheck Protection Program loans and laundering more than $35,000 of the funds.

Jason L. Hemingway, 47, faces two counts each of bank fraud and making false statements on loan applications, plus three counts of money laundering.

Federal prosecutors allege Hemingway submitted false information to obtain two PPP loans for his business, Principal Transfer Group, LLC, in February and April 2021.

False claims on loan applications

The indictment states Hemingway claimed another person owned his business and falsely reported the company had an average monthly payroll of $63,212. He also misrepresented employee numbers, claiming 25 workers on the first application and eight on the second.

Hemingway signed both applications using the name of the person he falsely claimed was the company’s president and owner, according to court documents. He received $158,031 from each loan application.

On his second application, Hemingway falsely certified he had used the previous loan funds only for eligible expenses, prosecutors said.

Alleged misuse of funds

Federal authorities allege that Hemingway used PPP funds for unauthorized purposes, including personal benefit. The indictment states he transferred $11,000 to his 417 Print Shop, LLC business account, $11,000 to his personal bank account, and $13,851 to his Robinhood investment account.

The PPP...

Read Full Story: https://news.google.com/rss/articles/CBMiigFBVV95cUxOUG13M2xneFVZcm8zZUpBbUpq...