Internal U.S. small business watchdog launches inquiry into duplicate pandemic loans

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The U.S. Small Business Administration's internal watchdog has launched an inquiry into a technical glitch that led many small businesses to receive duplicate loans through a high-profile federal coronavirus aid program.

FILE PHOTO: U.S. Rep. James Clyburn talks to reporters ahead of a vote in the U.S. House of Representatives on a coronavirus economic aid package on Capitol Hill in Washington, U.S., March 13, 2020. REUTERS/Yuri Gripas

A spokesman for the SBA Office of the Inspector General confirmed that the office has begun a review of the issue, which Reuters reported last month may have led to hundreds of millions of dollars in duplicate loans being approved under the $660 billion Paycheck Protection Program . The duplicate loan issue may have created “significant opportunities” for fraud and potentially wasted more than $100 million in taxpayer dollars, Clyburn said in the June 23 letter addressed to SBA Inspector General Hannibal “Mike” Ware. He said it was “critical” to probe the issue as soon as possible.The SBA launched the program on April 3 to help keep workers at struggling businesses employed.

Lenders are still grappling with unwinding duplicate loans across several banks and retrieving the cash where those loans have been deposited, according to one person with direct knowledge of the matter.

 

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ChrisPrentice Let me understand this properly : THESE ARE LOANS not subsidies and therefore the small business will have to pay back. The total is 100 million dollars for the total which compared with the 500 billion for large companies this seems to be only peanuts .

ChrisPrentice Pandemic money thrown at Trump cronies? Fueling stock market & class divide? This morning stock futures up while people die of Covid in Trump states: Florida, Arizona & Texas! Trump saving filthy rich & killing poor at the same time! Or is it China? Racism to rescue Trump?

ChrisPrentice Here we go.

Follow ALLLLLLL That money released by t(RUMP). PERIOD.

That’s inevitable, there are too many crooks out there “free unguarded money teaches stealing “

'Glitch'

Look at these hashtags StopExecutionsInIran اعدام_نکنید

This is an opportunity for President to go all out prosecute these Democrats to the full extent of the law.

Probably mostly duplicate loans to members of Congress...No big deal.

More incompetence by the Trump administration. What else is new?

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