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Billions in COVID Loans Scrutinized for Fraud
14 May
Summary
- Over $22 billion in COVID loans flagged for suspected fraud.
- Around $200 billion in COVID EIDL loans may have been fraudulent.
- No public list exists for those accused of COVID loan fraud.
Federal agencies are intensifying efforts to recover COVID-relief funds, with billions in delinquent Paycheck Protection Program (PPP) and Economic Injury Disaster Loans (EIDL) now under scrutiny for suspected fraud. Approximately $22.2 billion in delinquent loans were flagged for potential fraud and referred for collection.
The Small Business Administration's Office of Inspector General estimates that around $200 billion, or 16%, of the $1.2 trillion in COVID-EIDL loans approved in 2020 and 2021 might have been obtained fraudulently.
While investigations are ongoing, there is no publicly available list detailing individuals or businesses currently facing charges for COVID-era loan fraud. Some social media users have inaccurately presented borrower databases as lists of individuals accused of fraud; however, simply appearing in these databases does not indicate wrongdoing.
