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Locally owned CoreLife Eatery to pay nearly $8 million in lawsuit over pandemic relief funds
Locally owned CoreLife Eatery to pay nearly $8 million in lawsuit over pandemic relief funds

Yahoo

time06-05-2025

  • Business
  • Yahoo

Locally owned CoreLife Eatery to pay nearly $8 million in lawsuit over pandemic relief funds

SYRACUSE, N.Y. (WSYR-TV) — North Syracuse-based restaurant CoreLife Eatery, known for its salads and healthy foods, has been ordered to pay almost $8 million for falsely claiming they were eligible for pandemic relief funds. NewsChannel 9 has obtained a copy of the court documents that allege the restaurant lied about the number of restaurants it had in order to get pandemic relief funds. Currently, CoreLife Eatery has 36 locations, with 15 in New York and three in Central New York. According to the lawsuit filed by the United States Department of Justice, Northern District of New York, they are ordering CoreLife Eatery to pay $7.8 million for falsely certifying its eligibility for a Restaurant Revitalization Fund (RRF) grant. Back in March of 2021, Congress moved forward with the American Rescue Plan Act as a continuation of the federal government's efforts to help provide relief to American individuals and businesses who were suffering as a result of the pandemic. According to the filing, the Act allocated $28.6 billion toward an RRF, to be administered by the United States Small Business Administration (SBA), that could grant qualifying restaurants and other 'eligible entities' money awards equal to revenue losses caused by the pandemic. A restaurant was not an 'eligible entity' if, as of March 13, 2020, it (together with its 'affiliated businesses') owned or operated more than 20 locations. On May 3, 2021, CoreLife applied for an RRF grant for the amount of $3,904,686.55, but per the guidelines, they were actually ineligible as at the time, they had 29 locations. A question on the grant's application asked if CoreLife owned or operated more than 20 locations as of March 13, 2020. A managing member responded to that question with 'no.' The filing stated that CoreLife has since admitted to, acknowledged, and accepted responsibility for the wrongdoings regarding the grant. The chain also has locations in Pennsylvania, Ohio, Illinois, and Kentucky. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed. For the latest news, weather, sports, and streaming video, head to WSYR.

CoreLife Eatery to pay $7.8 million for falsely claiming relief funds
CoreLife Eatery to pay $7.8 million for falsely claiming relief funds

Yahoo

time05-05-2025

  • Business
  • Yahoo

CoreLife Eatery to pay $7.8 million for falsely claiming relief funds

ALBANY, N.Y. (WIVT/WBGH) – A local healthy restaurant chain is on the hook for over $7.8 million in restitution after admitting to falsely certifying its eligibility for a restaurant relief fund during the pandemic in 2021, the Department of Justice announced Monday. CoreLife Eatery, LLC, which has locations throughout New York, Pennsylvania and other states, including a Vestal location, will pay $7,809,373 for violating the False Claims Act. In 2021, Congress enacted the Restaurant Revitalization Fund (RRF) to support small businesses during the COVID-19 pandemic. Qualifying restaurants would be eligible for grants to subsidize their pandemic-related losses and stay in business. 'Under the program, any restaurant that—together with its affiliated businesses—owned or operated more than 20 locations as of March 13, 2020, was ineligible for RRF funding,' the release said. CoreLife, as part of the settlement for $7.8 million, admitted to owning and operating 29 locations as of the March 13, 2020, deadline. 'The Restaurant Revitalization Fund was created to support certain small businesses facing the economic hardships of the COVID-19 pandemic,' said United States Attorney John A. Sarcone III. 'By submitting false information about its size to obtain a grant, CoreLife not only diverted funds from eligible recipients but also eroded public trust in critical relief efforts. Our office remains committed to enforcing the False Claims Act and holding accountable those who misrepresent their eligibility for federal funding,' Sarcone III added. The relator in the settlement will receive nearly $1.2 million. President Trump suggests new trade deals could come this week Business of the Week: Warehouse Carpet & Flooring Outlets Police week kicks-off with Binghamton flag raising President Trump wants to reopen Alcatraz Operation Babylift 50 years later: Crash survivor keeps history alive Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

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