Treasury Secretary Steven Mnuchin said Tuesday that any small-business relief loan over $2 million would undergo a "Full review" before it is forgiven to ensure that help does not go to large corporations instead of the companies it was meant to aid in the pandemic.
"We're going to do a full audit of every loan over $2 million. ... This was a program designed for small businesses. It was not a program designed for public companies that have liquidity," Mnuchin said on CNBC Monday morning.
"It is unfortunate that there is a small number of companies that have created a lot of publicity that took loans. I think it was inappropriate for most of these companies to take the loans," Mnuchin said.
At least 60 publicly traded firms have claimed loans from the $350 billion that was originally intended for small businesses through the $2.3 trillion CARES Act relief package, including chains such as Shake Shack and Ruth's Chris Steak House.
Mnuchin said Tuesday it was "Outrageous" that the Los Angeles Lakers received a small-business relief loan worth $4.6 million.
The Small Business Administration's relief program, the Payroll Protection Program, provides loans to cover the payrolls of small businesses with 500 or fewer employees.
When applying for the loan, business owners must certify the number of workers they have on their payrolls.
https://www.washingtonexaminer.com/news/mnuchin-warns-that-companies-that-improperly-claim-small-business-relief-face-criminal-liability
"We're going to do a full audit of every loan over $2 million. ... This was a program designed for small businesses. It was not a program designed for public companies that have liquidity," Mnuchin said on CNBC Monday morning.
"It is unfortunate that there is a small number of companies that have created a lot of publicity that took loans. I think it was inappropriate for most of these companies to take the loans," Mnuchin said.
At least 60 publicly traded firms have claimed loans from the $350 billion that was originally intended for small businesses through the $2.3 trillion CARES Act relief package, including chains such as Shake Shack and Ruth's Chris Steak House.
Mnuchin said Tuesday it was "Outrageous" that the Los Angeles Lakers received a small-business relief loan worth $4.6 million.
The Small Business Administration's relief program, the Payroll Protection Program, provides loans to cover the payrolls of small businesses with 500 or fewer employees.
When applying for the loan, business owners must certify the number of workers they have on their payrolls.
https://www.washingtonexaminer.com/news/mnuchin-warns-that-companies-that-improperly-claim-small-business-relief-face-criminal-liability
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