WASHINGTON –听翱惫别谤听$200听产颈濒濒颈辞苍听蹿谤辞尘听the US听驳overnment’s听颁翱痴滨顿-19听谤别濒颈别蹿听辫谤辞驳谤补尘蝉听飞别谤别听辫辞迟别苍迟颈补濒濒测听stolen, a federal听飞补迟肠丑诲辞驳听said on Tuesday, adding that the US聽Small Business Administration (SBA) had weakened its controls in a rush to disburse the funds.
At least 17% of all funds related to the government’s coronavirus Economic Injury Disaster Loan (EIDL) and Paycheck Protection Program (PPP) schemes were disbursed to聽辫辞迟别苍迟颈补濒濒测听fraudulent actors, according to a聽聽by the SBA’s office of inspector general.
翱惫别谤听the course of the pandemic, the SBA disbursed about $1.2 trillion of EIDL and PPP funds.
The SBA disputed the more than $200听产颈濒濒颈辞苍听figure put forward by the听飞补迟肠丑诲辞驳听and said the inspector general’s approach had significantly听辞惫别谤estimated fraud.
The agency said its experts put the聽potential聽fraud estimate at $36听产颈濒濒颈辞苍听and added that听辞惫别谤聽86% of that likely fraud took place in 2020, when the administration for former President Donald Trump was in office. President Joe Biden took office in January 2021.
The fraud estimate put forward by the inspector general for the EIDL program stood at more than $136听产颈濒濒颈辞苍听while the PPP fraud estimate was $64听产颈濒濒颈辞苍.
The United States聽聽many fraud cases pegged to US听驳overnment assistance听辫谤辞驳谤补尘蝉. In May 2021, Attorney General Merrick Garland launched a听颁翱痴滨顿-19 Fraud Enforcement Task Force.
Last year, the US聽Justice Department tapped federal prosecutor Kevin Chambers to lead its efforts to investigate alleged fraud schemes intending to bilk government pandemic assistance听辫谤辞驳谤补尘蝉.
In September 2022, the inspector general for the US聽Labor Department said frauds迟别谤蝉听聽蹿谤辞尘听the United States’ unemployment insurance program during the coronavirus outbreak by applying tactics like using Social Security numbers of deceased individuals.
Also in September, federal prosecutors charged dozens of defendants, who 飞别谤别听聽蹿谤辞尘听a government aid program that was supposed to feed children in need during the pandemic.
Earlier this year, a separate听飞补迟肠丑诲辞驳听report said the US听驳overnment likely聽听颈苍听颁翱痴滨顿-19 aid to people with questionable Social Security numbers. – Reuters
