November 6, 2024

Donald Finley, a 61-year-old entrepreneur and amusement park owner from Locust Valley, New York, was sentenced to two years (24 months) in prison after admitting guilt in May 2023 for disaster relief fraud and wire fraud. He deceitfully obtained $3.2 million in small business loans under the Paycheck Protection Program (PPP) and Economic Injury Disaster Loan Program (EIDLP), later spending these funds on personal items, including purchasing a home in Nantucket. His sentencing was delivered and publicly announced on Tuesday afternoon.

In addition to serving time, Finley has reimbursed the full amount of $3.2 million. He was further asked to pay a penalty of $15,000 and complete 500 hours of community service. You can find our initial coverage of this event here.

“Finley saw the catastrophic pandemic not as a national crisis, but as an opportunity to misappropriate millions meant for COVID-19 relief. He used these funds to secure a holiday house in Nantucket,” commented Breon Peace, United States Attorney for the Eastern District of New York in a press release. “This decision is a clear message: such disgraceful behavior is met with a forfeiture of freedom and full repayment for the victims. Hopefully, it will serve as a deterrent to those contemplating similar fraud. We will not turn a blind eye to COVID-19 fraud.”

Mr. Finley is both the proprietor of the Bayville Adventure Park located in Nassau County and the non-operational Jekyll & Hyde-themed eatery. The controversial home in question is reportedly situated at 26 Eel Point Road, a property he acquired on February 10th, 2021, at a staggering $2.25 million.

Donald Finley

“Donald Finley is a self-confessed criminal, having admitted to misappropriating millions meant for COVID-19 relief,” stated Thomas Fattorusso, IRS-CI Special Agent-in-Charge. “While he was busy relishing his ill-gotten wealth, countless businesses with legitimate needs were simply surviving. This decision shows unequivocally that nobody finds amusement from the criminal acts of this Bayville Adventure Park owner; he will now confront the reality of prison.”

“We will relentlessly pursue criminals regardless of their location, from the bustling boroughs of Manhattan to the tranquil coastal villages,” announced USPIS Inspector-in-Charge Daniel B. Brubaker. “Potential fraudsters should take note: if you use the mailing system as a channel to practise deceit, be assured that justice will prevail. The sentencing of today is evidence of this promise.”

According to the U.S. Attorney’s Office, between March 2020 and March 2021, Finley falsely applied for and received almost 29 PPP and EIDLP grants amounting to roughly $3.2 million through the corporations he managed. The applications consisted of “incorrect information, falsified financial details, and concocted supporting documentation, all crafted to trick the SBA and the lenders executing the PPP and EIDL initiatives into approving the loans.” 

Once these loans were approved, Finley funnelled the funds across over 30 bank accounts to prevent tracking of the proceeds. A significant proportion of the misappropriated resources was employed to purchase real estate in Nantucket, Massachusetts in February 2021, state the prosecutors.