Staff reports 4:42 a.m.
Friday, February 20, 2026 4:41 am

PEMBROKE - A Pembroke man was sentenced Thursday for fraudulently obtaining over $1 million of CARES Act funds and misusing funds to purchase a golf course.

Michael Kirouac, 38, was sentenced by U.S. District Judge Joseph Laplante to 15 months in prison and one year of supervised release. Kirouac pleaded guilty last October to one count of wire fraud.

During the early part of the coronavirus pandemic, Congress passed the Coronavirus Aid, Relief, and Economic Security (CARES) Act. The CARES Act included multiple relief provisions to help the millions of Americans and many small businesses adversely affected by the pandemic, including the Paycheck Protection Program (PPP). Private lenders could participate in the PPP. The loans, which were supposed to be used for payroll, were fully guaranteed by the government. If borrowers used the PPP loans for payroll and other approved expenses as intended, they could apply for loan forgiveness. The CARES Act also opened up the Small Business Administration's (SBA) Economic Injury Disaster Loan (EIDL) program. As with PPP loans, EIDL loans were supposed to be used for payroll and other business expenses such as rent and mortgage.

Kirouac owned or controlled four companies: HK Manchester, HK Loudon, HK Hudson, and HK Pelham. He applied for and obtained over $1 million worth of Economic Injury Disaster Loans (EIDLs) for the companies. Kirouac certified that he would use the loan proceeds solely as working capital and would not use the funds for personal expenses or to relocate the businesses from one location to another.

Beginning in 2021, Kirouac was looking to purchase a golf course. He was unable to obtain financing from banks and private lenders and instead obtained EIDLs on behalf of HK Manchester and HK Loudon, according to a statement from the U.S. Attorneys Office. Kirouac used approximately $600,000 of EIDL funds intended for HK Manchester and HK Loudon to help purchase the Angus Lea Golf Course in Hillsborough. Kirouac also misused EIDL funds he obtained for HK Pelham.

Separately, Kirouac obtained a $260,500 EIDL for HK Hudson. However, Kirouac had already agreed to sell HK Hudson to a third party when he signed for the loan. Kirouac did not disclose that fact to the SBA.

"The defendant stole over a million dollars from taxpayers amidst one of the worst health and economic crises in a century," said U.S. Attorney Erin Creegan. "This office will continue to vigilantly investigate and prosecute those who defraud pandemic relief programs."

"The defendant misappropriated critical funds intended for legitimate businesses harmed by the COVID-19 pandemic," added Special Agent in Charge Christopher F. Algieri with the Department of Veterans Affairs Office of Inspector General's Northeast Field Office. "This sentencing underscores the VA OIG's commitment to safeguarding taxpayer funds and protecting the integrity of government assistance programs."

The Department of Veterans Affairs' Office of the Inspector General, IRS Criminal Investigations, and SBA's Office of the Inspector General led the investigation. The Department of Justice's Money Laundering, Narcotics and Forfeiture Section provided valuable assistance. Assistant U.S. Attorney Alexander S. Chen prosecuted the case.

Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice's National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.