SBA suspends 6,900 Minnesota borrowers over suspected $400 million fraud scheme involving PPP and disaster loans during COVID-19 pandemic response.
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TheSmallBusinessAdministration(SBA)announcedThursdaythatitsuspended6,900Minnesotaborrowersafteruncoveringwhatitsaysiswidespreadsuspectedfraud.
SBAAdministratorKellyLoefflersaidtheagencyreviewedthousandsofPaycheckProtectionProgram(PPP)andEconomicInjuryDisasterLoan(EIDL)loansapprovedinMinnesota,andidentifiednearly$400millioninpotentiallyfraudulentloanstiedtoborrowersinMinnesota.
“TheseindividualswillbebannedfromallSBAloanprograms,includingdisasterloans,goingforward,”LoefflerwroteonX.
Loefflersaidtheagencywillreferappropriatecasestofederallawenforcementforprosecutionandrepayment.
TRUMPTARGETSMINNESOTAFRAUDALLEGATIONS,SAYS‘WE’REGOINGTOGETTOTHEBOTTOMOFIT’
“Afteryears,theAmericanpeoplewillfinallybegintoseethecriminalswhostolefromlaw-abidingtaxpayersheldaccountable—andthisisjustthefirststate,”shestated.
Thesuspectedfraudulentact
