Viking Life-Saving Equipment (America) Inc., a marine equipment company, has agreed to pay $3.86 million to settle allegations of fraudulently obtaining paycheck protection program (PPP) loans. The announcement was made by U.S. Attorney Nicholas J. Ganjei.
The company, based in Miami, Florida, operates in Pasadena and is a subsidiary of Denmark's Viking Life Savings Equipment A/S. It specializes in maritime and offshore safety equipment and services such as lifeboats, life rafts, personal protective gear, and safety training programs.
Between April 24, 2020, and November 11, 2021, Viking applied for two PPP loans and sought forgiveness for both. The PPP was established under the Coronavirus Aid, Relief and Economic Security (CARES) Act to provide forgivable loans to small businesses during the COVID-19 pandemic for payroll and certain other expenses. Eligible companies were required to have fewer than 500 employees or adhere to industry-specific size limits. According to Small Business Administration (SBA) affiliation rules, businesses with shared ownership or control had to include all affiliated employees when determining eligibility.
The settlement addresses allegations that Viking misrepresented the total number of its own employees and those of its affiliates when applying for the PPP loans. The company allegedly falsely certified its eligibility on the relevant loan application dates to secure PPP funding and loan forgiveness. Viking cooperated fully with requests for information during this investigation.
Assistant U.S. Attorney Paul B. Moore managed the case alongside Attorney Amber Perez from the SBA - Office of General Counsel.
It is important to note that the claims resolved by this settlement are only allegations; there has been no determination of liability.
