Breaking News
Kushner, Trump Got PPP Loans Worth $3.65M
Companies owned by senior adviser Jared Kushner and President Donald Trump got Paycheck Protection Program loans. Last Tuesday, the Small Business Administration (SBA) released the full list of PPP recipients.
RELATED: Senate Votes to Loosen PPP Requirements
The PPP issued over 25 loans worth $3.65 million to businesses in Trump and Kushner properties. The loans were used to pay rent to owners, which are the families of Trump and Kushner. Fifteen of the properties self-reported that they kept at most one job. Some reported zero jobs kept, while some didn't bother submitting a number.
The Paycheck Protection Program
Introduced in March, the $2.2 trillion CARES Act is a comprehensive coronavirus stimulus program. Included among its program is the Paycheck Protection Program (PPP). The PPP provides forgivable payroll relief to small businesses to keep operations afloat. The initial $349 billion budget quickly ran out, amid a deluge of loan applications. Congress then gave an additional $321 billion.
Soon after, many small businesses began reporting they can't get loan approvals. Meanwhile, big businesses and equity firms breezed through the process and got loans. The SBA resisted calls for a full listing of loan recipients. However, the SBA’s inspector general admitted that “strong indicators of widespread potential abuse and fraud in the PPP” existed. This includes tens of thousands of ineligible companies that managed to score loans. Eleven news organizations requested full disclosure of the SBA recipient list, citing the Freedom of Information Act. Last month, a federal judge ordered the SBA to disclose all the names, addresses, and loan amounts. The agency complied by releasing the list, which the Washington Post analyzed.
A Broken System
Kyle Herrig, president of watchdog organization Accountable.US, said the program reeks of mismanagement. In a statement, he said that “Many months and broken promises later, the court-ordered release of this crucial data while the Trump administration is one foot out the door is a shameful dereliction of duty and flagrant mismanagement of a program that millions of workers and small businesses needed to get through this pandemic.” He added: “Only now—after its hand has been forced, hundreds of thousands of small businesses have gone under and millions of taxpayer dollars were wasted—has this administration pulled back the curtains to reveal the malpractice going on behind the scenes.”
Samples of the apparent mismanagement including over 100 listings of loans given to companies without business names. Also, entries with “no-name available” or empty data entry errors, littered the report. The PPP forbids any business to get more than $10 million. Still, more than 300 companies managed to do so through subsidiaries.
Only 28% of Loans Went to Small Business
Earlier in August, Treasury Department and SBA officials insisted that the PPP benefited smaller businesses the most. They claimed that 87% of the loans consisted of loans for less than $150,000. However, new data suggests that half of the $522 billion total budget went to around 600 big businesses and national chains. These big businesses accounted for only 5% of the total borrowers. Meanwhile, only 28% actually came in the form of loans costing $150,000 or less.
Liz Hempowicz, Project on Government Oversight director of public policy, said the PPP shows the administration's real focus. “The data shows that this program primarily benefited the well-banked and well-lawyered at the expense of the small businesses it was supposed to benefit,” Hempowicz said.
Companies of Kushner, Trump Got PPP Loans
According to an NBC news report, four tenants of Kushner-owned 666 5th Avenue, got more than $204,000 in loans. However, they only retained around six jobs. LB City Inc., registered at the Kushners’ New Jersey Bungalow Hotel, received a loan of over $505,500. In fairness, they retained 155 jobs.
Meanwhile, two tenants at Trump Tower in New York received a PPP loan of over $100,000. These businesses managed to retain only three jobs. The Triomphe Restaurant located at the Trump Tower in New York City got a $2,164,543 loan. The business failed to retain any workers and then shut down.
Kushner Co. Denies Benefiting from PPP
The Trump Organization did not issue any comments at the time. However, the Kushner Companies addressed the issue. General counsel Christopher Smith told Business Insider that “The notion that Kushner Companies somehow improperly benefited from CARES Act Paycheck Protection Program (PPP) loans is completely untrue and amounts to nothing more than politically motivated nonsense.”
He added: “Exactly two Kushner Companies' hotel operations affiliates received PPP loans. Every provision of the PPP program has been comprehensively abided with respect to each of the two loans — and every penny of the funds received from the program was utilized to fund employee payroll and benefits costs to maintain jobs imperiled by the COVID pandemic and associated lockdown measures.”
Watch the CNBC TV news on the PPP loan recipients, where more than 600 companies got the maximum $10M in PPP loans, disadvantaging small businesses:
Loading ...What do you think about the Paycheck Protection Program? Did it succeed in helping small businesses? Or did it fall victim to gross mismanagement? Let us know what you think about the PPP by writing your opinions in the comment section below.
17 Comments
Total bovine scat. Writers are scumbags. Headline is so really misleading. Amazing how the anti’s twist news.
The rich got richer. The loans did not go to those in need. Why oh why would the most wealthy get these loans.
At least he took it out as a loan and not like most other Politicians just take our tax money.
LET THEM PAY. IT IS A DISGRACE RICH PEOPLE ENRICHING THEMSELVES WHILE SO MANY ARE IN POVERTY, HUNGRY AND WITH NO PLACE TO LIVE, IT IS A SHAME THAT THE PRESIDENT IS ALLOWING THIS TO HAPPEN.
The article is very misleading. The loans went to companies that needed financial assistance in providing income to their employees while no money coming in due to virus. The people who wrote this were trying to divert attention from what is important. The election was rigged. Stay focused. Democrats are breaking the law and they want you looking at totally legal transactions that also included all their companies too! Pelosi and her buddies all have companies and they received these PPP loans like everyone else. There is no gotcha here!
of the 3 choices available, the second & third are correct. Due to mismanagement and/ or malfeasance, the program fails because it was unable to work as intended. I don’t care if the President’s companies or his son-in-laws’ companies COMPLIED” with all the guidelines. Why are we handing out taxpayer money to multi-millionaires?
Let’s see. Ruth Chris restaurants got millions. Starbucks etc. ridiculous. The Dems worked this NBC proved the point. For once
Of course they grifted. Grifters gotta grift. They’ll keep grifting their cult until the cult members have no money and then they will blame the democrats. That’s how it works with cults.
It will be interesting to see when everything is finalized about who should have and who shouldn’t have received PPP. Those that shouldn’t have will pay back their PPP loans. Will we see Kusher and Trump pay back their $3.65m loan to the taxpayers. Another great payday for their lawyers.
FAKE NEWS. IT SHOULD BE FSA. For you butt hurt, freebie sucking sheep, that follow someones else’s butt in your face. Wake up! Trump has done more than the last admin, he went down his list of promises and in the total face of adversity. Phony, Russia, fake impeachment, Ukraine, China Virus and now rigged mail in voting. He still accomplished a lot! Four more years. Get ready! If you really voted blue, what were you expecting to get out of it?
I AM SO CONFUSED. I DON’T KNOW WHO TO BELIEVE ANYMORE. GUESS I’LL AGREE WITH THE LADY WHO SAID WAIT AND SEE THE FINALITY AND WHO WAS NOT DESERVING OF THERE 3 MILLION DOLLAR LOANS AND HAVE TO PAY BACK THOSE LOANS TO THE AMERICAN TAXPAYERS. GOING TO MAKE THEIR LAWYERS RICHER. LIKED THAT ONE. SMALL BUSINESSES DID GET THE WRONG END OF THE STICK. SO IT COULD GET TWO ANSWERS. MISMANAGEMENT BY THE GOVERNMENT OR THE BIG COMPANIES GOT ALL HUGE LOANS. LEAVING THE LITTLE GUY TO CLOSE UP SHOP. IT’S A WAIT AND SEE GAME. ( if it ever gets resolved)
Looks like we are demonizing money once again. Covid or money more deadly?
Answer: Trump’s false claims and lies are most deadly. Deport him to Siberia. Jail costs too much taxpayers money to feed this lying fatass.
Maybe, but the Biden crime syndicate has been doing much worse for the past 47 years. Why hasn’t that been talked about. Especially leading up to an election?
Money buy everything
A lot of bums got the money
There were some small businesses that it helped but there were many big business and even congressmen who took advantage of it also. There weren’t enough strict guide lines on who was eligible. My granddaughter managed a tanning salon and they waited a long time before it came through and had no income for over 2 months. It is open and would be doing ok if the Virus had not faired again which stifles the business”
I’m sick of all this fraud and corruption. People have to be put in jail to fix all this. Criminality must have consequences!!!!