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Dynamic Staffing, Inc., located in Muscle Shoals, Alabama, has paid $1,725,000 to settle civil False Claims Act (FCA) allegations

Summary

Dynamic Staffing, Inc., located in Muscle Shoals, Alabama, paid $1,725,000 to settle civil False Claims Act allegations that it falsely certified it was eligible for a Second Draw Paycheck Protection Program (PPP) loan. The United States alleged that Dynamic Staffing received a PPP loan of more than $1.4 million, later forgiven, after making false statements on its loan application in February 2021 and its forgiveness application in October 2021. The settlement began with a whistleblower lawsuit, United States ex rel. GNGH2, Inc. v. Dynamic Staffing in Virginia, Inc., and the whistleblower received a ten percent share. The release states that the civil claims settled are allegations only, with no determination of civil liability.

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Cite this document

“Dynamic Staffing, Inc., located in Muscle Shoals, Alabama, has paid $1,725,000 to settle civil False Claims Act (FCA) allegations.” Original at www.justice.gov. Archived at Pandemic Darlings, https://pandemicdarlings.com/source-documents/2025-11-25-alabama-corporation-settles-paycheck-protection-program-fal-2bb7ae4960/, SHA-256 aa80213b0527fae3e06e81db2ac2c728a775f0ccab9431eb9b5fc56d137f2138.

Full text

RICHMOND, Va. – Dynamic Staffing, Inc., located in Muscle Shoals, Alabama, has paid $1,725,000 to settle civil False Claims Act (FCA) allegations that it falsely certified that it was eligible for a Second Draw Paycheck Protection Program (PPP) loan.
The United States alleged that Dynamic Staffing received a PPP loan of more than $1.4 million, which was later forgiven, after submitting false statements on its application for the PPP loan in February 2021, and again on its application for forgiveness of the loan in October 2021.
The settlement began with a lawsuit,
United States ex rel. GNGH2, Inc. v. Dynamic Staffing in Virginia, Inc.,
filed under the whistleblower provision of the False Claims Act, which permits private parties to file suit on behalf of the United States for false claims presented to the federal government and share in a portion of the government’s recovery
.
The whistleblower in this matter received a ten percent share of the settlement. The resolution obtained in this matter was the result of a coordinated effort between the U.S. Attorney’s Office for the Eastern District of Virginia and the U.S. Small Business Administration.
The matter was investigated by Assistant U.S. Attorney Robert McIntosh.
A copy of this press release may be found on the website of the
U.S. Attorney’s Office for the Eastern District of Virginia
. Case records may be found on
PACER
under case number 3:25-cv-200.
The civil claims settled are allegations only; there has been no determination of civil liability.

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2025-11-25_alabama-corporation-settles-paycheck-protection-program-false-claims_3cc3a722.md.txt
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