KEENE, N.H. (MyKeeneNow) Federal prosecutors have charged former New Hampshire state senator and businessman Andy Sanborn with theft of government funds, alleging he improperly spent more than $255,000 in federal pandemic relief money on personal expenses after receiving an $844,000 Economic Injury Disaster Loan (EIDL) for his casino business.

The charge, announced Tuesday by U.S. Attorney Erin Creegan, alleges Sanborn obtained the loan through his company, Win Win Win, which operated Concord Casino, and certified that the funds would be used solely as working capital for the business.

According to court documents, investigators allege Sanborn instead used $255,232.72 of the federal funds for personal expenditures, including the purchase of a 2006 Porsche Cayman for $48,750 in January 2022.

The federal case is the latest development in a long-running controversy surrounding Sanborn’s use of pandemic relief programs. State regulators and prosecutors have previously accused him of improperly obtaining COVID-19 relief funds intended to help struggling businesses during the pandemic. In 2023, New Hampshire authorities moved to revoke Sanborn’s gaming license and force the sale of Concord Casino after concluding he had fraudulently obtained federal relief funding. He was later charged by state prosecutors with theft by deception related to New Hampshire’s Main Street Relief Fund program, alleging he received substantially more aid than his business was entitled to receive.

The case is likely to draw interest in Keene, where Sanborn owns the commercial building at 82 Main St., a prominent downtown property that houses several restaurants, retailers and service businesses. The multi-tenant retail property is currently being marketed for sale for approximately $2.55 million and is described in listing materials as a fully leased commercial building in the center of downtown Keene.

The building was thrust into the local spotlight earlier this month when a malfunctioning sprinkler head discharged inside an electrical room, flooding the building’s main electrical infrastructure and forcing a complete shutdown of power and gas service. The incident displaced multiple businesses, including Kilkenny Pub, Madame Sherri’s, Local Burger, The Perch, Kurama Omakase, Red House Irons and J Alexis Braiding Studio. Business owners reported spoiled food inventory, water damage and days of lost revenue while repairs were completed. Fire officials said the most likely cause was a mechanical failure of the sprinkler head.

The multi-tenant building occupies a highly visible location in the center of downtown Keene near the Colonial Theatre and is home to a mix of restaurant, retail and service-oriented tenants.

Federal authorities said the investigation is being conducted by the FBI, IRS Criminal Investigation and the U.S. Postal Inspection Service. Assistant U.S. Attorney Alexander Chen is prosecuting the case.

Sanborn has been charged by criminal information in U.S. District Court. A plea hearing is expected to be scheduled before a federal judge in the coming weeks.