BANGOR, Maine — A Skowhegan man pleaded guilty to federal bank fraud charges stemming from a Paycheck Protection Program application, federal prosecutors said.
Nathan Reardon, 44, formerly of Brewer, owned and controlled Global Disruptive Technologies Inc., a Bangor-based business. The U.S. Department of Justice said in a release Tuesday that in April 2020 Reardon obtained a $59,145 loan for his company using false employee wage information and false supporting payroll documentation. The department said Reardon then spent the money on items and expenses he knew weren't covered by the program.
After receiving the first loan, Reardon submitted additional fraudulent PPP applications to the same bank in April and May of 2020, according to the DOJ. Two of the applications were for companies that had no active business operations, employees, or payroll.
Paycheck Protection Program loans were designed to be forgivable loans for small businesses to help with job retention and some other expenses during the COVID-19 pandemic.
Reardon was indicted by a federal grand jury in Bangor on May 13, 2021. He pleaded guilty on Tuesday and faces up to 30 years in prison and a $1,000,000 fine. He also faces up to five years of supervised release. The DOJ said he will be sentenced after an investigation report is completed.
The case was investigated by the Treasury Inspector General for Tax Administration and the U.S. Small Business Administration.
