Kelly Loeffler says agency identified widespread suspected fraud in COVID-era loans
The Small Business Administration (SBA) announced Thursday that it suspended 6,900 Minnesota borrowers after uncovering what it says is widespread suspected fraud.
SBA Administrator Kelly Loeffler said the agency reviewed thousands of Paycheck Protection Program (PPP) and Economic Injury Disaster Loan (EIDL) loans approved in Minnesota, and identified nearly $400 million in potentially fraudulent loans tied to borrowers in Minnesota.
“These individuals will be banned from all SBA loan programs, including disaster loans, going forward,” Loeffler wrote on X.