On Cooperator Charged With Defrauding Banks PPP Inner City Press Unsealing Mostly Granted

On Cooperator Charged With Defrauding Banks PPP Inner City Press Unsealing Mostly Granted by Matthew Russell Lee, Patreon Book Substack SDNY COURTHOUSE, Feb 27 – In the Magistrates Court of the SDNY on May 24, 2023 a bail or jail hearing was held on defendants  SANDEEP GROVER and SHIKHA SEHGAL, charged with a scheme to submit more than 100 applications containing false representations to seven financial institutions and fraudulently obtain over $13 million in government-backed Paycheck Protection Program loans.   Presiding was U.S. District Court for the Southern District of New York Magistrate Judge Gabriel W. Gorenstein. Inner City Press there.  Jump cut to September 29, 2025, when cooperator Shikha Sehgal was up for sentencing. Both memos, including the US Attorney's Office's, were filed under seal. Inner City Press went, and the defense lawyer tried to seal the courtroom while asking for a time served sentence. While that was not granted, both sentencing memos remain sealed - contrary to the Second Circuit's recent decision in Lee v. Greenwood. Inner City Press made a request to unseal and Judge Torres to her credit asked the parties to show cause. Late on October 14 the US Attorney's Office filed, chiding the Press for reporting on what its cooperator said in open court, and submitted a still heavily redacted memo. No effort to explain the initial complete withholding was proffered. The Office has been chided recently, among others by Judge Caproni. But they withhold and seal hoping no one will request unsealing, then chiding the Press that does. On February 26, 2026, this: " On September 29, 2025, the Court received an email from Matthew Lee of Inner City Press seeking to unseal the parties’ sentencing submissions (“Sehgal Submissions”) in this case. See ECF No. 106 at 2–3... Lee’s request to unseal the parties’ sentencing submissions is granted in part and denied in part." Back on October 23, 2025 counsel to Sandeep Grover wrote in that Grover is in the hospital "is unable to report for his scheduled surrender at Allenwood Low FIC on October 24." On October 24, Judge Torres OK-ed it: " GRANTED. By October 31, 2025, defense counsel shall update the Court regarding Defendant's medical status, with accompanying medical documentation. (Signed by Judge Analisa Torres on 10/24/2025)." We'll have more on this. The case is US v. Sehgal, et al., 1:24-cr-43-3 (Torres)  *** Your support means a lot. As little as $5 a month helps keep us going and grants you access to exclusive bonus material on our Patreon page. Click here to become a patron. Feedback: Editorial [at] innercitypress.com SDNY Press Room 480 500 Pearl Street, NY NY 10007 USA Mail: Box 130222 NY NY 10013 Reporter's mobile (and weekends): 718-716-3540 Other, earlier Inner City Press are listed here, and some are available in the ProQuest service, and now on Lexis-Nexis.  Copyright 2006-2025 Inner City Press, Inc. To request reprint or other permission, e-contact Editorial [at] innercitypress.com