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CT Marina Owner Admits To Lying To Receive Hurricane Sandy Disaster Loan

Hurricane Sandy struck Fairfield County in 2012.
Hurricane Sandy struck Fairfield County in 2012. Photo Credit: Fairfield Police via Twitter

A marina owner in Connecticut has admitted to lying to the Small Business Administration to receive disaster loans in connection with Hurricane Sandy.

Scott Sundholm, 39, of Old Saybrook, pleaded guilty in Hartford district court on Monday, June 10, to one count of making false statements for the purposes of obtaining a small business administration loan.

According to U.S. Attorney John Durham, in 2016, Sundolm, who owns and operates S&S Marine in Old Saybrook, applied for and received a disaster loan from the Small Business Administration after claiming that Hurricane Sandy, which struck in late October 2012, caused a tidal surge at the marina and damaged floating boat docks, a boat ramp, a bath house, a metal shop building and other structures.

The investigation into the claims determined that some of the statements made by Sundholm about damage that Hurricane Sandy caused his marina were not true,” Durham said.

“Sundholm had demolished the marina’s pre-existing bath house in September 2012, more than a month before Hurricane Sandy,” he said. “And the bath house was dilapidated and not similar in size and quality to the new bath house that Sundholm subsequently built.  In addition, no floating boat docks or boat ramps existed at the marina prior to the hurricane”

Sundholm is scheduled to be sentenced on Sept. 6, when he will face a maximum term of two years in prison and a fine. Sundholm has also agreed to pay restitution to the tune of $1,653,257.10 to the Small Business Administration.

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