On September 17, 2026, the Department of Justice announced that it had reached a $3,016,750 settlement with Trax Retail, Inc. (“Trax Retail”), the United States subsidiary of a Singapore company, Trax Technology Solutions Pte. Ltd. (“Trax Technology”), to resolve allegations from Gregg Shapiro’s whistleblower client that Trax Retail improperly obtained a $2,000,000 second draw Paycheck Protection Program loan. Gregg filed the whistleblower’s False Claims Act qui tam complaint in March 2025.
Under the second draw of the PPP, a business could receive a forgivable loan of up to $2 million, but not if it and its affiliates had more than 300 employees.
In the settlement, Trax Retail admitted that:
– When it applied for its second draw PPP loan in February 2021, it represented that it was eligible for the loan and had 74 employees.
– At that time, Trax Retail was a United States subsidiary of Trax Technology, and Trax Retail and its affiliates had more than 300 employees.
The whistleblower will receive approximately $300,000 of the settlement amount.
The whistleblower and his counsel commend the expeditious work of Assistant United States Attorney Alex Brazier on this matter.