SPRINGFIELD, Mo. (Edited News Release/KY3) – A Springfield business owner pleaded guilty to bank fraud and money laundering after fraudulently obtaining $316,062 in Paycheck Protection Program loans under the CARES Act and using the funds for unauthorized purposes, including personal benefit.
Jason L. Hemingway, 47, applied for two PPP loans on behalf of his business, Principal Transfer Group, LLC, in February and April 2021. According to court documents, Hemingway falsely inflated the number of employees on the applications and certified that the loans were for eligible business expenses. He also used another person’s name without their knowledge or authorization to obtain the loans because of his own poor personal credit history.
Charges and restitution
Hemingway pleaded guilty to one count of bank fraud and one count of money laundering. He agreed to pay $316,062 in restitution and will forfeit to the government any property derived from the fraud and money-laundering scheme, including any money judgment.
Sentencing
A federal district court judge will determine Hemingway’s sentence after considering U.S. Sentencing Guidelines and other statutory factors. Under federal law, Hemingway faces up to 30 years in federal prison for bank fraud and up to 10 years for money laundering. A sentencing hearing will be scheduled after the completion of a presentence investigation by the U.S. Probation Office.
The case is being prosecuted by Assistant U.S. Attorney Casey Clark. IRS Criminal Investigation and the Federal Bureau of Investigation investigated the case.
To report a correction or typo, please email digitalnews@ky3.com. Please include the article info in the subject line of the email.
Copyright 2026 KY3. All rights reserved.
