Christopher Hooper of Cape Elizabeth has agreed to pay $1,240,500 to resolve allegations related to the misuse of COVID-19 Economic Injury and Disaster Loan (EIDL) funds. The settlement addresses claims that Hooper, acting individually and through his company Hooper Consulting, LLC, received EIDL funding but did not use the loan proceeds as intended.
The EIDL program was created to provide low-interest loans for businesses affected by the COVID-19 pandemic. These loans were meant to be used for operating expenses such as payroll, rent or mortgage payments, utilities, and other ordinary business costs.
According to government allegations, Hooper used some of the relief funds for stock trades and personal investments. He also transferred large sums into his personal accounts. Later on, he submitted a hardship application in an effort to reduce his monthly repayment obligations. The government further claimed that Hooper mixed EIDL funds with business accounts before making significant purchases including payments to a high-end interior designer, more than $10,000 at a Land Rover dealership, and substantial spending on home improvements. Authorities noted that these are only allegations and there has been no determination of liability.
The U.S. Attorney’s Office stated that this case is part of ongoing efforts to identify and investigate cases involving fraudulently obtained or misused pandemic relief funds. Federal law changes have recently extended the statute of limitations for civil and criminal fraud enforcement actions concerning PPP and EIDL loans from six years to ten years.
