New House Report Exposes An Inequitable PPP

Last week, a new report from the House Select Subcommittee on the Coronavirus Crisis showed that the rushed launch of the Paycheck Protection Program (PPP) resulted in businesses in communities of color being shut out at the benefit of wealthy corporations.  

Meanwhile, as tens of thousands of small businesses across the country suffer without additional aid, new reporting revealed that Ammo Inc., a gun manufacturer whose sales spiked in response to COVID-19, secured nearly $1 million in taxpayer-funded PPP aid.


NEW HOUSE REPORT SHOWS PPP LEFT COMMUNITIES OF COLOR AND WOMEN-OWNED BUSINESSES BEHIND 

Wall Street Journal | Treasury Department Encouraged Banks to Prioritize Existing Customers for PPP Loans, House Panel Says 

“The Treasury Department’s actions were one of several ways the Trump administration and several large banks put underserved businesses, including those owned by women and minorities, at a disadvantage when applying for the $670 billion Paycheck Protection Program, said the report from the House Select Subcommittee on the Coronavirus Crisis.” 

Accountable.US | New House Report Slams Paycheck Protection Program As Inequitable 

@lydiadepillis | “This House Oversight committee report on how Treasury *encouraged* banks to make PPP loans to their existing customers first — and then lied about it — is pretty damning. Link” [View Twitter Thread]  

CNBC | Treasury encouraged banks to prioritize PPP loans for existing clients, hurting minority and women-owned small businesses, House report says 

Politico | Democrats blast small business rescue, saying it failed minorities


GUN MANUFACTURERS GET PPP AID AS SMALL BUSINESSES SHUTTER ACROSS THE COUNTRY 

New York Post | Bullet maker got $1M in COVID-19 aid even as sales exploded 

“Arizona-based Ammo Inc. — whose products include a high-tech bullet that glows red as it flies through the air — revealed in August that it got the money from two Paycheck Protection Program loans in April right after a blowout quarter in which its revenues more than tripled.” 

Poynter | 96,000+ businesses nervously await PPP loan forgiveness 

Accountable.US | Watchdog Calls on SBA for Sunlight in PPP Loan Forgiveness 

Fox Business | JPMorgan’s Dimon says more stimulus needed, warns businesses won’t survive more coronavirus lockdowns 

ROI-NJ | Nonprofits, saying they are running out of funds, make call for more state assistance 


PPP FRAUD ROUNDUP  

CBS Dallas | Feds Say Coppell Man Spent $17 Million In Fraudulently Obtained PPP Loans On Homes & Luxury Cars 

McClatchy Washington Bureau | CBD business crashed, but Miami exec still got a PPP loan and bought $1M jet, lawsuit says