Albany man pleads guilty to fraud

ALBANY, N.Y. (NEWS10) -- An Albany man has pled guilty to defrauding a loan program intended to assist struggling businesses during the COVID-19 pandemic, according to the United States Attorney's Office. Scott Solomon, 37, had been charged with two counts of bank fraud.

Solomon admitted to fraudulently applying for and was granted Paycheck Protection Program (PPP) loans back in 2020 for two restaurants he formerly managed in Saratoga Springs. Solomon reportedly submitted false tax documents for each loan, lying about each restaurant’s payroll and number of employees.

According to the USAO, despite the two businesses being non-operational at the time he applied for the loans, Solomon used the loaned funds, which totaled $163,993, in ways that were prohibited by the PPP. Solomon was also accused of fraudulently obtaining forgiveness for one of the loans, falsely stating to the lender that he had put a majority of the funding toward payroll.

Solomon now faces up to 30 years in prison and up to five years of post-release supervision when he is sentenced on April 30, 2024. Solomon will also have to pay $163,993 in restitution to the victims, as well as forfeit an additional $163,993 to the government as proceeds of his crimes.