The US Attorney’s Office announced that Lancaster Medical LLC, a former medical practice located in Depew, NY, has agreed to pay $500,000 to resolve allegations arising under the False Claims Act (FCA), that it fraudulently obtained a Paycheck Protection Program (PPP) loan from the US Small Business Administration (SBA), which it was not eligible to receive. This action is part of the Trump Administration’s Task Force to Eliminate Fraud. Lancaster Medical LLC applied for and received a PPP loan in April of 2020, which was fully guaranteed by the SBA in the amount of $249,290. The United States alleges that Lancaster Medical LLC violated the FCA by falsely certifying its eligibility for the PPP loan. Lancaster Medical LLC was not eligible for the PPP loan because its assets had been sold pursuant to an asset sale in 2019—months before it applied for the PPP loan. The United States further contends that the PPP loan proceeds were used for impermissible purposes, such as personal expenses for Lancaster Medical LLC’s former owners. The United States further contends that after being informed that the PPP loan was not approved for forgiveness, Lancaster Medical LLC did not repay the loan.