A Battle Creek manufacturer agreed to pay more than $2.35 million to settle claims the company violated federal law when securing a second Paycheck Protection Program loan five years ago.
The negotiated agreement with the U.S. Attorney’s Office for the Western District of Michigan in Grand Rapids resolves claims that auto supplier Bleistahl North America LP violated the federal False Claims Act by seeking and accepting a PPP loan that it was ineligible to receive.
U.S. Attorney’s Office claimed that Bleistahl North America was ineligible for the $1.3 million pandemic-relief loan received in March 2021 because the company and affiliates employed more than 300 workers, exceeding the eligibility threshold. Federal prosecutors claimed that Bleistahl North America falsely certified in its PPP loan application that it had fewer than 300 employees…