The U.S. Attorney’s Office for the District of Columbia reached a settlement agreement with the Jewish War Veterans of the United States of America on Wednesday, resolving allegations that the organization violated the False Claims Act by applying for and receiving a loan for which it was not eligible.
A nonprofit that supports Jewish U.S. service members and veterans, the group applied for a Paycheck Protection Program loan in 2020, received $124,654 and sought forgiveness of the loan under the program, according to the Justice Department.
Prosecutors noted that 501(c)(4) organizations were “never eligible for PPP loans.”
The group agrees to pay $210,000 to resolve the allegation, the attorney’s office said.
The Paycheck Protection Program was a government loan program established by the first Trump administration to help businesses and organizations continue paying their employees during the COVID-19 pandemic.
