Now, US DOJ is expanding its enforcement actions to include civil prosecutions under the FCA. If a federal court finds an individual personally liable for fraud, the FCA authorizes the federal court to enter a civil judgment 3 times the amount of the PPP funds and assess civil penalties against that individual personally. Federal Investigations for PPP Fraud How does the government decide to investigate an individual or company for PPP fraud? The government receives referrals from many different sources which can trigger a federal investigation including the following: Based on a referral, the federal government may investigate or prosecute current or former business owners, corporate officers, or managers under the FCA for alleged PPP fraud. These individuals should consult with an accountant and attorney to review their company's PPP loan application, spending, and forgiveness for compliance with the federal PPP rules.