Big problems with the Paycheck Protection Program?

The loans were supposed to help small businesses survive the pandemic. Did they work?

Kanye West.
(Image credit: AP Photo/Michael Wyke,File)

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"The U.S. Small Business Administration released 4.8 million loan records detailing who received money from the $530 billion Paycheck Protection Program," said Taylor Borden at ­Business Insider — and it's quite a list. Kanye West's Yeezy sneakers brand is on it, with a loan of $2 million to $5 million. So are the Girl Scouts of America, the Archdiocese of New York, the Ayn Rand ­Institute — a think tank known for promoting "hard-core ­capitalism" — and the anti-tax Americans for Tax Reform Foundation. "Meant to protect small business," the program, which offered forgivable loans to help save jobs, ended up sending money to large corporations, private schools, and even private clubs. Among the "well-heeled and well-connected" recipients were organizations linked to the Trump administration itself, said Ryan Tracy at The Wall Street Journal. An Indianapolis company part-owned by Education Secretary Betsy DeVos got a loan of at least $6 million; a company run by the family of Transportation Secretary Elaine Chao got a loan, too. So did Newsmax Media, run by Trump donor Christopher Ruddy. Large hospital and casino chains got loans for multiple subsidiaries, leading to complaints of misuse. Says one finance professor, "This was supposed to be a small-business program."

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