Ethan Page, a 52-year-old resident of Kekaha, Hawaii, was sentenced on April 15 to fourteen months in federal prison and ordered to pay $1,409,964.35 in restitution after pleading guilty to making a false statement to the Small Business Administration regarding federal COVID-19 relief funds.
The case highlights ongoing efforts by authorities to address misuse of pandemic-related financial assistance programs intended for struggling businesses. According to United States Attorney Ken Sorenson, Page received over $1.4 million from the Restaurant Revitalization Fund after submitting an application under his business name, Hanapepe Design Studio, LLC.
Court records show that after receiving the funds in May 2021, Page transferred $1.3 million into his personal investment account and spent another $100,000 on other unauthorized expenses. In December 2021, he falsely certified in a post-award report that all funds were used for eligible business expenses such as payroll and rent. The government said that if Page had accurately reported his use of the funds, repayment would have been required.
The Federal Bureau of Investigation investigated the case while Assistant U.S. Attorneys Craig S. Nolan and Gregg Paris Yates prosecuted it.
On April 7 this year, the Department of Justice announced the creation of its National Fraud Enforcement Division with a mission "to zealously investigate and prosecute those who steal or fraudulently misuse taxpayer dollars." The department's efforts are part of President Trump's Task Force to Eliminate Fraud led by Vice President J.D. Vance.
The U.S. Attorney for the District of Hawaii upholds federal justice and protects residents across the Hawaiian Islands according to its official website. The office employs a team of 23 lawyers and 40 staff members according to its official website and conducts both criminal investigations as well as civil litigation on behalf of the United States according to its official website. Serving approximately 1.5 million residents from its main office in Honolulu according to its official website, it manages cases involving federal crimes across all Hawaiian Islands.
