House Passes Bill Saying Associates of PPP Fraudsters Ineligible for SBA Loans

“I am extremely grateful for my colleagues’ support for my legislation to implement a common sense requirement to protect the integrity of SBA lending programs,” says Chairman Roger Williams. 

“No one who has been convicted of defrauding the pandemic lending programs should ever be given the opportunity to access future financial assistance programs. 

“There’s much more work to be done to correct the issues that allowed these unacceptable levels of fraud to occur in the first place, but this legislation is an important step in rebuilding confidence in the agency.

H.R. 5427 would clarify that associates of small businesses convicted of falsely receiving financial assistance from the SBA for programs related to COVID-19 are ineligible for future financial assistance. 

Under current law, those people are already ineligible for future funding from the SBA.

The bill passed November 28.