A golf club in southwestern Michigan has agreed to pay $440,000 to settle allegations that it improperly obtained loans through a federal program during the COVID-19 pandemic, officials said Monday.
U.S. Attorney Mark Totten said the Gull Lake Country Club, located near Richland in Kalamazoo County, was not eligible for the loan.
A whistleblower filed suit against the club and the federal government also joined the case. The suit also names other golf clubs in Michigan. Most of the documents in the case are under seal in federal court in Grand Rapids.
Under the Paycheck Protection Program, some businesses can get forgivable loans to help them through the pandemic.
A phone message seeking comment from the Gull Lake club was not immediately returned.
“Today’s resolution reflects our continued commitment to protecting taxpayer money and investigating allegations of fraud in vital government programs,” Totten said.
The suit was filed by Wade Riner, who will receive a portion of the settlement. He has filed similar suits in other states.