Court Reinstates Claims Against iLink Employers Company, CEO Alvaro Ayala Over $6M in Pandemic Relief Funds
NEW YORK—November 4, 2025—DiCello Levitt and Hecht Partners have notched an important appellate decision for whistleblower protections and the integrity of federal relief programs. In a unanimous decision issued on November 3, 2025, the United States Court of Appeals for the Ninth Circuit reversed the dismissal of Relator LLC’s False Claims Act (FCA) case against iLink Employers Company, iLink Business Management, and their CEO, Alvaro Ayala.
The Court found that Relator LLC plausibly and with particularity alleged that the defendants knowingly made false statements and certifications in their Paycheck Protection Program (PPP) loan applications—including falsely claiming hundreds of employees and millions in payroll to secure more than $6 million in federal funds. The decision sends the case back to the district court for further proceedings, recognizing the complaint’s detailed allegations of fraudulent conduct.
“This decision is a powerful affirmation of the role whistleblowers play in protecting taxpayer dollars and the integrity of federal relief programs,” said Chuck Dender, Chair of DiCello Levitt’s Whistleblower Litigation Practice Group, who argued the appeal before the Ninth Circuit. “The False Claims Act can present Plaintiffs (known as “Relators” in FCA litigation) with complex challenges, achieving a reversal in the Ninth Circuit on a False Claims Act case related to one of those challenges is a particularly significant procedural win and an important step toward accountability for those who seek to profit from public funds through deception.”
This victory underscores the importance of robust enforcement of the FCA and the critical role of whistleblowers in safeguarding public resources. The case is United States of America ex rel. Relator LLC v. iLink Employers Company, iLink Business Management, Inc., and Alvaro Gabriel Ayala, Case No. 24-5636, in the United States Court of Appeals for the Ninth Circuit.
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