Man sentenced to prison for $1 million loan fraud scheme involving two California trucking companies

A California man has been sentenced to more than a year in prison for fraudulently obtaining Paycheck Protection Program (PPP) loans on behalf of two trucking companies and using the money to purchase agricultural land.

On Monday, March 23, 2026, Fresno resident Gurjeet Bath, 37, was sentenced to 14 months in prison and ordered to pay $100,000 in restitution, according to the U.S. Attorney’s Office for the Eastern District of California.

Bath pleaded guilty on May 27, 2025, to a charge of theft of government property.

Officials say that Bath and family members Bath operated trucking companies G.S. Bath Inc. and Complete Transportation Solutions, located in Fresno County.

In 2020 and 2021, Bath applied for and received three PPP loans totaling more than $1 million.

Bath “knowingly falsified records to inflate his businesses’ employees and their wages” in order to obtain the PPP loans, authorities said.

The money obtained from the PPP loans was then used to purchase two parcels of agricultural land in Fresno County

o“During a time when legitimate businesses were struggling to survive, this defendant chose to exploit a program designed to keep workers employed,” said U.S. Attorney Grant. “He has since pleaded guilty and repaid the stolen funds, but that does not erase the harm caused. Today’s sentence reflects the seriousness of that fraud and our commitment to holding accountable those who abuse programs meant to help our communities in times of crisis.”

“Mr. Gurjeet Bath fabricated employee records and inflated wages to steal more than $825,000 in federal funds meant to keep businesses afloat during a national crisis. Instead, he used that money to buy land in Fresno County. The FBI and our partners at the SBA Office of Inspector General will continue pursuing everyone who treated pandemic relief as a personal slush fund,” said FBI Sacramento Special Agent in Charge Sid Patel.

This case was investigated by the Federal Bureau of Investigation with assistance from the Small Business Administration (SBA) Office of Inspector General.