U.S. Attorney Damian Williams | U.S. Department of Justice
The United States Attorney for the Southern District of New York, Damian Williams, alongside Amaleka McCall-Brathwaite from the U.S. Small Business Administration's Office of Inspector General, announced a settlement involving Stefano Maroni. The case pertains to allegations that Maroni submitted false information to obtain Paycheck Protection Program (PPP) loans for two companies he owned, GMI USA Corp. and Belovefine Ltd., violating the False Claims Act.
According to the settlement approved by U.S. District Judge Jennifer H. Rearden on December 9, 2024, Maroni is required to pay $1,470,085.65 to resolve claims that he inflated payroll figures in loan applications and sought excessive loan forgiveness amounts. Maroni admitted responsibility for misrepresenting payroll and employee numbers in applications which increased the PPP loans received and forgiven.
The PPP was established under the CARES Act in March 2020 to aid small businesses during the COVID-19 pandemic by providing forgivable loans for payroll and other expenses. Eligible businesses had to certify accurate information in their loan applications.
U.S. Attorney Damian Williams stated: "Stefano Maroni submitted false information and false certifications to receive Paycheck Protection Program loans to which he and his businesses were not entitled."
The lawsuit filed alleged that Belovefine and GMI operated as one entity from a shared office space with overlapping employees whose salaries were double-counted in loan applications. It also claimed that Belovefine falsely reported having employees as of February 15, 2020, despite all employees being paid through GMI at that time.
Maroni admitted various inaccuracies including transferring employees between company payrolls without changes in job functions and signing off on incorrect information within loan applications.
In connection with this case, the government joined a whistleblower lawsuit filed under seal under the False Claims Act.
Williams commended SBA-OIG's assistance with this case managed by Assistant U.S. Attorney Samuel Dolinger from the Civil Frauds Unit.
