Viking Life-Saving Equipment (America) Inc., a marine equipment company, has agreed to pay $3.86 million to settle allegations related to the fraudulent acquisition of paycheck protection program (PPP) loans. The announcement was made by U.S. Attorney Nicholas J. Ganjei.
The company, based in Miami, Florida, with operations in Pasadena, 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 employee payroll and certain other expenses. Eligible companies needed fewer than 500 employees or had to meet industry-specific size limits. According to Small Business Administration (SBA) affiliation rules, businesses with shared ownership or control were required to include all affiliated employees when calculating eligibility.
The settlement addresses allegations that Viking obtained the PPP loans by misrepresenting the total number of its employees and those of its affiliates. It is alleged that Viking falsely certified eligibility on loan application materials to secure PPP funding and loan forgiveness. During the investigation, Viking fully responded to requests for information.
Assistant U.S. Attorney Paul B. Moore managed the case alongside Attorney Amber Perez from the SBA – Office of General Counsel.
It should be noted that the claims resolved by this settlement are only allegations; no liability has been determined.
