California man Abraham Park, 67, of La Mirada, was sentenced to 46 months in prison and ordered to pay $6.99 million in restitution and $535,041 in forfeiture for defrauding the Small Business Administration’s COVID-Reflief Economic Injury Disaster Loan (EIDL) program, federal officials announced Thursday.
From March 2020 to October 2022, officials stated that Park—owner and CEO of a financial services company—filed over 120 fraudulent EIDL applications for himself, family members, and clients, advising them to create fake corporations. He took kickbacks from the funded loans.
In total, 73 loans were approved, causing nearly $7 million in losses to the SBA. Park pleaded guilty on March 20 to wire fraud and money laundering.