News & Analysis as of

Paycheck Protection Program (PPP) Financial Institutions

Buchalter

PPP Lender Liability, Enforcement, & Fintech Challenges

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The Paycheck Protection Program (“PPP”) emerged as a lifeline for small businesses grappling with the unprecedented challenges of the COVID-19 pandemic. Lenders navigated a landscape of regulations that Congress quickly...more

Troutman Pepper

Troutman Pepper Weekly Consumer Financial Services Newsletter -October 2023 # 3

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To keep you informed of recent activities, below are several of the most significant federal and state events that have influenced the Consumer Financial Services industry over the past week...more

Lippes Mathias LLP

The Rise and Fall of the Paycheck Protection Program

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The Long-Term Effects Felt by Lenders Nationwide. As a result of the United States government instituting the Paycheck Protection Program (“PPP”), companies nationwide have defaulted on hundreds of thousands of PPP loans,...more

ArentFox Schiff

Investigations Newsletter: Court Unseals Charges Alleging Nearly $15 Million in Fraudulent PPP Loans

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Court Unseals Charges Alleging Nearly $15 Million in Fraudulent PPP Loans - Earlier this week, federal prosecutors in the Southern District of New York announced the unsealing of a criminal complaint charging six...more

Orrick, Herrington & Sutcliffe LLP

DOJ Appears to Shift Focus to Lenders in Paycheck Protection Program Investigations: What You Need to Know

The Department of Justice appears to be shifting its focus from investigating fraudulent behavior by Paycheck Protection Program (PPP) borrowers to investigating lenders and related institutions....more

Fox Rothschild LLP

Have Interest Rate Hikes Made Direct Market Comparison Valuations Irrelevant?

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It has been a busy month in the world economy and in the bank business especially. On March 10 a large commercial bank in California was closed for lack of ability to pay depositors. It has produced a wave of concerns about...more

Spilman Thomas & Battle, PLLC

Promissory Notes - Banking & Finance Insights, Volume 2, Issue 9

Is SAFE Banking Act Getting Closer to Passage? Senators Agree Public Safety Issues are at Play "Sen. Jeff Merkley (D-OR), the sponsor of the SAFE Banking Act, talked about violent crime targeting marijuana businesses and...more

Jenner & Block

Government Contracts Legal Round-Up | 2022 Issue 18

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Welcome to Jenner & Block’s Government Contracts Legal Round‑Up, a biweekly update on important government contracts developments. This update offers brief summaries of key developments for government contracts legal,...more

Bass, Berry & Sims PLC

Government Announces First FCA Settlement with PPP Lender

Bass, Berry & Sims PLC on

The Department of Justice (DOJ) announced on September 12, the first-ever False Claims Act (FCA) settlement with a Paycheck Protection Program (PPP) lender. Prosperity Bank, a Texas-based regional bank, agreed to pay...more

Bilzin Sumberg

Fintechs Face DOJ, House Scrutiny Over PPP Lending

Bilzin Sumberg on

In a June 3, 2022 court filing, Kabbage, Inc. (doing business as KServicing), a fintech lender, disclosed that it is under investigation by the U.S. Department of Justice (“DOJ”) under the False Claims Act. The investigation,...more

Spilman Thomas & Battle, PLLC

Promissory Notes - Banking & Finance Insights, Volume 2, Issue 8

Biden Signs Bills Aimed at Catching Pandemic Business Loan Cheats - "President Joe Biden signed a pair of bills that will give the Justice Department more time to investigate and prosecute people accused of fraudulently...more

Jenner & Block

Recent Developments in Bankruptcy Law Update - July 2022

Jenner & Block on

Covered Activities - 1.1.a Order granting counterclaim declaring validity of mortgage on the debtor’s property does not violate the stay. The debtor acquired property subject to a disputed mortgage. The debtor brought a...more

Sheppard Mullin Richter & Hampton LLP

DOJ Investigating FinTech Over PPP Loans

On June 3, a federal court filing in the Southern District of Florida by an Atlanta-based FinTech company revealed that the small business lender is under DOJ investigation for alleged PPP loan approval practices. According...more

Sheppard Mullin Richter & Hampton LLP

Court Filing Reveals that DOJ Is Investigating Fintech’s Administration of PPP Loans

A federal court filing by a fintech company revealed that it has been under investigation by the Department of Justice (“DOJ”) in relation to its Paycheck Protection Program (“PPP”) loan approval practices for over a year...more

Spilman Thomas & Battle, PLLC

Promissory Notes - Banking & Finance Insights, Volume 2, Issue 7

Can an Effort to Revamp Anti-Redlining Lending Law Survive the Swamp? "The first major overhaul of the Community Reinvestment Act since 1995 wins praise, but some advocates say it falls short on closing the racial lending...more

Bradley Arant Boult Cummings LLP

Prosecution Of NY Lender Marks Shift In PPP Enforcement

Until recently government enforcement and regulatory scrutiny of fraud and other misconduct relating to COVID-19 relief programs were generally limited to end recipients of the relief. These efforts have mostly been...more

ArentFox Schiff

Investigations Newsletter: California Man Convicted in $27 Million PPP Fraud Scheme

ArentFox Schiff on

California Man Convicted in $27 Million PPP Fraud Scheme - After a trial before a federal jury, a California man was convicted of bank fraud, making false statements to a financial institution, and money laundering for...more

Nutter McClennen & Fish LLP

Nutter Bank Report: February 2022

Federal Court Rejects Challenges to FDIC’s and OCC’s “Valid When Made” Rules A federal court in two separate but related cases has rejected challenges to the FDIC’s and the OCC’s respective regulations that codified the...more

K2 Integrity

Post-COVID Financial Crimes Strategy: Tangible Solutions for Evolving Threats

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From January 11 to 13, K2 Integrity’s experts participated in several panels at the ABA/ABA Financial Crimes Enforcement Conference. Below is an overview of insights delivered by Ray Dookhie in a session on Post-COVID...more

Fox Rothschild LLP

Bank Fraud Involving PPP Loans Could Lead to Prison Time, Even for Relatively Small Advances

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The U.S. Department of Justice has recently begun charging defendants with bank fraud in relation to Paycheck Protection Program loans as part of its continuing efforts to investigate and prosecute individuals for crimes...more

Robins Kaplan LLP

Financial Daily Dose 10.12.2021 | Top Story: Southwest Cancellations Continue, Stranding Angry Passengers

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Southwest Airlines canceled hundreds more flights to start the week, though its operations were closer to normal after a weekend that saw the carrier nix almost 2000 flights. The company blamed a mix of weather problems, “air...more

Spilman Thomas & Battle, PLLC

All Consuming - Financial Litigation Insights, Volume 2, Issue 17

Biden Makes It Easier for Student Loan Borrowers to Get a Mortgage - "The new rule supported by the Biden administration proposed that FHA lenders drop the requirement to calculate student loan payments at 1%." Why this is...more

Robins Kaplan LLP

Financial Daily Dose 8.18.2021 | Top Story: Investors Sue Ackman in Action that Could Affect Entire SPAC Landscape

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Bill Ackman and his Pershing Square SPAC were on the receiving end of a “novel” lawsuit on Tuesday “that could have far-reaching implications for the SPAC industry.” The action argues that Ackman’s SPAC “isn’t an operating...more

Spilman Thomas & Battle, PLLC

Promissory Notes - Banking & Finance Insights, Issue 6

Welcome to our sixth issue of Promissory Notes -- our e-newsletter focused on banking and finance insights. SBA to Drop Its Review of PPP Loans of $2 Million and Above - "The effort marks an about-face for the agency...more

Baker Donelson

PPP Oversight: Congress Turns Its Focus to the Agency Diligence

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On March 25, 2021, Chairwoman of the House Committee on Oversight and Reform Carolyn Maloney and the Select Subcommittee on the Coronavirus Crisis released a staff memo highlighting "new evidence" of the Trump...more

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