Why it matters

• The program failed to exclude big businesses and smaller firms in good standings from receiving the low-interest loans as part of the PPP. 
• Small businesses received little to no help through the program.
• A large number of big businesses and small firms that received funding through PPP experienced financial hardship long before the COVID-19 crisis, according to an Associated Press Investigation.

Corporations facing backlash

• Several large beneficiaries have decided to return the loans received through the PPP.
• The LA Lakers, Kura Sushi USA and Sweetgreen have returned loans they received through PPP.

Between the lines

• Small business owners and executives found the PPP process of application ambiguous and confusing. 
• The Small Business Administration and Treasury Department had given businesses that wrongfully received loans till May 7th to return funds.
• Corporations and small businesses that received over $2 million in loans will be audited and criminally prosecuted if found guilty of financial wrongdoing. 

Actions taken

• Publix announced that it will purchase excess milk and food produce from farmers and donate it to Feeding America food banks.
• Eateries such as Ho Foods and Roku have been feeding healthcare workers through fundraisers, while using their own resources too.

Dig deeper → 4 min