Overview
- Administrator Kelly Loeffler said the agency will work across all 50 states in coordination with Vance’s fraud task force to target federal benefit abuse.
- She disclosed an investigation of a roughly $50 billion SBA program she said has never been audited and is vulnerable to waste and fraud.
- Loeffler said 112,000 California borrowers accused of defrauding COVID-era loan programs are now barred from future SBA assistance.
- Recent enforcement steps include halting SBA grants in Minnesota after a major scheme was uncovered and a separate federal pause of some Medicaid funding to the state.
- The push follows President Trump’s declared “war on fraud,” the appointment of DOJ fraud chief Colin McDonald, and watchdog estimates that government fraud totals hundreds of billions annually.