Vice President JD Vance announced Monday that roughly 870,000 individuals will be permanently barred from receiving federal small business loans following fraudulent activity that cost taxpayers tens of billions of dollars. The targeted fraud affected the Small Business Administration’s Paycheck Protection Program and Economic Injury Disaster loans, with an estimated $39 billion distributed to ineligible recipients.
"As it happens with so many of the programs that are born out of the generosity of the American taxpayer, we had many, many people who took advantage of those programs, people who decided to steal from the American taxpayer, steal money that was supposed to go to small businesses and American workers as well," Vance said during his anti-fraud initiative announcement. "If you screw the American taxpayer, the government is now gonna say you’re cut off — no more."
Attorney General Todd Blanche provided details on several prosecutions, including a case where an individual operated numerous fake businesses to secure loans while maintaining only one legitimate business named "Fur Lives Matter." Vance also mentioned that his anti-fraud task force has recovered approximately $250 billion to date through its enforcement efforts.