A Kennebunk woman, Meghan Martell, has pleaded guilty to wire fraud in a U.S. District Court in Portland. The charge stems from an application she submitted in April 2021 for a Paycheck Protection Program (PPP) loan.
Court records indicate that Martell, aged 33, falsely claimed to be the sole proprietor of a beauty salon with a gross income of $99,870 in 2019. She also provided fraudulent documentation, including a false tax form, to support her application. As a result, a California lender transferred $20,806 in PPP funds to her bank account in Maine.
Martell could face up to 20 years in prison and a maximum fine of $250,000. Following imprisonment, she may also be subject to up to three years of supervised release. The sentence will be determined by a federal district judge after considering the U.S. Sentencing Guidelines and other statutory factors.
The case was investigated by IRS Criminal Investigation.
The Paycheck Protection Program was established as part of COVID-19 pandemic relief efforts and was administered by the Small Business Administration (SBA). It aimed to provide forgivable loans to small businesses for job retention and other expenses related to the pandemic. Loans were disbursed through third-party lenders but fully guaranteed by the SBA.