ST. MARYS — An auto parts manufacturer whose principal place of business is in the Miami Valley has agreed to pay millions of dollars to resolve allegations under the False Claims Act (FCA).
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Murotech Ohio Corporation, which does business in St. Marys, agreed to pay just over $3 million, according to the U.S. Attorney’s Office for the Northern District of Ohio.
$1.08 million of that money is restitution.
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The corporation, a subsidiary of the Japan-based Muro Corporation, was accused of knowingly providing false information to obtain Paycheck Protection Program (PPP) loans and loan forgiveness.
The PPP was established through the U.S. Small Business Administration to deliver financial aid to eligible businesses during the COVID-19 pandemic. According to federal prosecutors, Murotech Ohio misstated its size on multiple loan documents to bypass federal eligibility rules.
The settlement resolves two whistleblower lawsuits brought under the FCA, which permits private entities to file complaints on behalf of the federal government and receive a portion of recovered funds.
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