Today, the U.S. Consumer Product Safety Commission (CPSC) is announcing an important personnel action following an investigation by the Office of Inspector General (OIG) into misconduct related to COVID-era Paycheck Protection Program (PPP) fraud.  The investigation determined that a senior CPSC employee fraudulently obtained nearly $25,000 in PPP funds.  Upon learning of these findings, CPSC took immediate steps to terminate the employee, who had served as a senior executive in the Directorate of Economic Analysis at CPSC.

“By taking these steps, we are sending a clear message that integrity matters,” said CPSC Acting Chairman Peter A. Feldman. “Those entrusted to protect the public, and especially senior managers, must hold themselves to the highest standards.”

The employee was found to have misrepresented his eligibility to secure PPP loans for a personal rental property business. According to the investigation, the employee received most of these pandemic relief funds as a result of false statements. These actions violated both federal law and the ethical obligations of public service.  The CPSC OIG has referred the matter to the COVID Fraud Enforcement Taskforce at the Department of Justice for potential additional action.

Employment with CPSC—and any federal agency—is a public trust. The agency holds its employees to the highest standards of integrity and accountability. Misuse of government programs will not be tolerated. 

CPSC extends its appreciation to OIG and the Pandemic Response Accountability Committee for their professionalism and diligent work uncovering this misconduct and safeguarding taxpayer resources. Their efforts reflect a strong and ongoing commitment to accountability and integrity at CPSC and across the federal government.