Multinational Software Company Agrees To Pay Over Three Million Dollars To Resolve False Claims Act Allegations Involving Paycheck Protection Program Loan
- Issuer
- U.S. Attorney’s Office, Northern District of California
- Document type
- Press release
- Date
- 2026-07-23
Press release — Multinational Software Company Agrees To Pay Over Three Million Dollars To Resolve False Claims Act Allegations Involving Paycheck Protection Program Loan, dated 2026-07-23, issued by U.S. Attorney’s Office, Northern District of California.
Full text
SAN FRANCISCO – IGEL Technology Corporation, a multinational software company with a North American headquarters in San Francisco, has agreed to pay a total of $3,168,901.75 to settle allegations that it knowingly violated the False Claims Act when it received and retained a Paycheck Protection Program (PPP) loan in violation of PPP rules. Congress created the PPP in March 2020, as part of the Coronavirus Aid, Relief, and Economic Security (CARES) Act, to provide emergency financial support to the millions of Americans suffering the economic effects of the COVID-19 pandemic. The CARES Act authorized billions of dollars in forgivable loans to small businesses struggling to pay employees and other business expenses. Applicants for a “first-draw” PPP loan were required to certify that they met certain size standards based on, for example, the number of employees that they employed, including in most cases employees of any U.S. and foreign affiliates. The United States alleged that IGEL’s North American affiliate, claiming to have only 105 employees, applied for and obtained a first-draw PPP loan in June 2020, even though the company was not eligible because it exceeded the size standards when including affiliated entities, including its multinational parent company. According to the United States, despite knowing that it was not eligible for the first-draw loan, IGEL also sought and obtained forgiveness of the loan. United States Attorney Craig H. Missakian and SBA General Counsel Wendell Davis made the announcement. The settlement resolves claims brought under the qui tam or whistleblower provisions of the False Claims Act by Verity Investigations, LLC. Under those provisions, a private party can file an action on behalf of the United States and receive a portion of any recovery. The qui tam case is captioned United States of America ex rel. Verity Investigations, LLC v. IGEL Technology Corporation , No. 3:25-cv-03290-SK (N.D. Cal.). Verity Investigations, LLC will receive $316,890.17 in connection with the settlement. Assistant U.S. Attorney Savith Iyengar handled this matter, with assistance from Jacqueline Hollar. The resolution resulted from a coordinated effort between the U.S. Attorney’s Office for the Northern District of California and SBA’s Office of General Counsel. The claims resolved by the settlement are allegations only, and there has been no determination of liability .
File and source
- File
- doj-usao-ndca-press-release-multinational-software-company-agrees-pay-over-three-million-2026-07-23.json
- Size
- 3,676 bytes
- SHA-256
- 25aae3890811092b810b63cf40b5366c80ec60aa8277ce7ed30e6a301be85645
- Original
- www.justice.gov