Bloom Firm Settles COVID-19 Loan Allegations

Lisa Bloom, a California attorney, and her law firm, The Bloom Firm, have settled for $274,000 over allegations of misusing funds from the COVID-19 Paycheck Protection Program (PPP). The Department of Justice accused them of violating the False Claims Act by falsely certifying that the firm used PPP loan funds for eligible payroll expenses while actually using some of the funds to pay ineligible employees. As part of the settlement, The Bloom Firm will pay $204,200.34, and both Bloom and her husband, Braden Pollock, will pay $35,384.49 each. This case highlights the ongoing scrutiny of PPP loan misuse, which was intended to support businesses during the pandemic. U.S. Attorney Martin Estrada emphasized the duty of attorneys to adhere to legal standards, reinforcing the integrity of pandemic assistance programs. The settlement was reached under the qui tam provision, allowing private parties to file lawsuits on behalf of the government for false claims.