Eagle Hospitality flags unauthorised loan application, tax delinquency by sponsor

Unauthorised PPP loan application submitted on behalf of the master lessor of Queen Mary hotel

Fiona Lam

Published Fri, Aug 14, 2020 · 09:50 PM

Singapore

THE managers of Eagle Hospitality Trust (EHT) said an unauthorised application was made under the US Paycheck Protection Program (PPP) on behalf of the Queen Mary's master lessor, and that certain master lessees had not paid some taxes.

The managers' professional advisers had discovered an unauthorised PPP loan application dated May 18, 2020, submitted purportedly on behalf of the master lessor of the Queen Mary floating hotel. The master lessor is a subsidiary of EHT's real estate investment trust, EH-Reit.

The application was signed by Taylor Woods, who had been removed and was no longer an officer of the master lessor as at the date of the application.

The US Small Business Administration later approved the PPP application, and a lender then granted a loan of more than US$2 million to the master lessor. But none of that money was received by the master lessor…