WARWICK, RI — David Butziger, 51, listed as owner of the Remington House property in Apponaug, has agreed to plead guilty to conspiracy to commit bank fraud in a PPP fraud case in U.S. District Court.
U.S. Attorney Aaron L. Weisman alleged Butziger and his accomplice, David Adler Staveley, 53, of Andover, MA, filed false bank loan applications seeking more than a half-million dollars in forgivable loans under the CARES Act.
Butziger’s court date to enter that plea has not yet been scheduled.
Staveley, a/k/a Kurt David Sanborn, a/k/a David Sanborn, Staveley, a/k/a Kurt David Sanborn, a/k/a David Sanborn, has been indicted on three counts of bank fraud and one count each of conspiracy to commit bank fraud, false statements to influence the SBA, aggravated identity theft, and failure to appear in court as required after faking his own death and fleeing under false identities until his arrest in Georgia in July.
Weisman’s office alleged that Staveley and Butziger conspired to seek forgivable loans guaranteed by the SBA, claiming to have dozens of employees earning wages at four different business, three restaurants and an electronics business, entities when, in fact, there were no employees working for any of the businesses. Additionally, it is alleged that Staveley posed as his brother in real estate transactions.
According to the indictment, after his release from court May 5, 2020, on unsecured bond with travel restrictions, Stavely violated the terms of pre-trial release when he traveled to Connecticut without the approval of the court or United States Probation. On May 11, 2020, the court ordered Staveley to home confinement with GPS monitoring. While awaiting a further court hearing on the pre-trial release violation, it is alleged that Staveley cut off his electronic monitoring bracelet and fled.
The indictment alleges that, in an effort to deceive law enforcement into believing that he had died, Staveley staged his suicide by, among other things, leaving suicide notes with associates and in his car, which he left unlocked and parked by the Atlantic Ocean. It is alleged that from May 26, 2020, to July 23, 2020, in an effort to avoid apprehension, Staveley traveled to various States using false identities and stolen license plates. He was apprehended by the United States Marshals Service in Alpharetta, Georgia on July 23, 2020.