Justice Department secures $1.5 million settlement from bookstore tied to senator's wife

The Justice Department announced it reached a $1.5 million settlement with a New York City bookstore owned by the wife of a U.S. Senator, according to RawStory. The bookstore was accused of illegally receiving a second loan from the Paycheck Protection Program (PPP), a pandemic relief initiative created during the Trump administration.

U.S. Attorney Jenaine Pirro stated that the bookstore, Strand Book Store, Inc., received a second PPP loan despite being ineligible due to ownership by Nancy Bass Wyden, wife of Senator Ron Wyden (D-OR). The PPP was designed to help businesses retain employees during the Covid-19 pandemic.

The bookstore's revenue reportedly declined by 70% during the first year of the pandemic, leading it to apply for PPP loans. However, several employees remained jobless after the loan was received, raising concerns about the loan's proper use.

Pirro emphasized that the Fraud and Asset Recovery Division will continue to investigate and hold accountable those who misuse taxpayer funds, noting that no one is exempt from prosecution for defrauding the government.