The government has more time to go after Covid relief program cheats

Covid-19 crooks hoping to run out the clock are now less likely to get away with their misdeeds, after President Biden signed two bills extending the statute of limitations for prosecuting fraud in pandemic-relief programs.

Federal law enforcement agencies now have 10 years, up from five, to investigate and prosecute possibly fraudulent Paycheck Protection Plan (PPP) and Economic Injury Disaster Loan (EIDL) loans after Congress passed the bills with bipartisan support. The two relief programs, intended to help businesses stay afloat and continue paying employees during the height of the coronavirus pandemic, have been rife with potential fraud.

“The American people deserve to know that their tax dollars are being spent as intended,” President Biden said during a teleconference. “My message to those cheats out there is this: You can’t hide. We’re going to find you. We’re going to make you pay back what you stole and hold you accountable under the law.”

The government already has its hands full investigating Covid-19 relief theft. By some estimates, $84 billion of PPP and EIDL loans issued were potentially fraudulent. The government has already prosecuted nearly 1,500 cases of PPP and EIDL fraud, according to a June congressional testimony by Kevin Chambers, director of Covid-19 fraud enforcement at the US Department of Justice.—DA