"SANTA CLARA - A South Bay woman was sentenced Wednesday to 1½ years in federal prison for fraudulently obtaining more than $2.8 million in pandemic relief funds, prosecutors said. Cassie Will-Darnall, 53, of Santa Clara, previously pleaded guilty to one count of bank fraud and one count of wire fraud stemming from a pair of Paycheck Protection Program, or PPP, loans she secured, according to the U.S. Attorney's Office."
"In May 2020, Will-Darnell submitted a PPP application as the sole partner of Alternative Health Services Inc., prosecutors said. She falsely stated the company had 10 employees and a payroll of $387,595, when it actually had no employees or payroll. Based on the bogus information, a lender approved and funded a $968,989 loan, according to prosecutors. Will-Darnall filed a second PPP application in July 2020, prosecutors said."
"A lender in turn approved and funded a roughly $1.86 million loan, according to prosecutors. The Paycheck Protection Program - which was administered by the Small Business Administration as part of the Coronavirus Aid, Relief and Economic Security Act - provided forgivable loans to small businesses for job retention and certain other qualified business expenses. Funds were disbursed by SBA-approved third-party lenders."
Cassie Will-Darnall, 53, pleaded guilty to one count of bank fraud and one count of wire fraud for securing two Paycheck Protection Program loans through false statements. In May 2020 she claimed Alternative Health Services Inc. had 10 employees and a payroll of $387,595; a lender funded $968,989. In July 2020 she claimed 35 employees and $816,551 payroll; a lender funded roughly $1.86 million. The PPP provided forgivable loans to small businesses and was administered by the Small Business Administration. A judge sentenced her to 18 months in federal prison and three years supervised release, with upcoming forfeiture and restitution hearings scheduled.
Read at The Mercury News
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