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New Fraud Uncovered In California: $8.6
Billion Covid-Era Relief

Original Article

Posted By: J. Arthur Brown, 2/6/2026 11:21:45 AM

California Attorney General Rob Bonta fell all over himself Thursday claiming that the California Department of Justice was working to tackle fraud in the state. (snip) Friday morning, the Small Business Administration upstaged AG Bonta and announced it has uncovered $8.6 billion in suspected fraud tied to Covid-era relief lending in California and has suspended more than 111,000 borrowers in the state. (snip) SBA Administrator Kelly Loeffler said the borrowers are suspected of improper activity involving federal pandemic programs, including Paycheck Protection Program (PPP) and Economic Injury Disaster Loan (EIDL) funds.

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The article also discusses meetings SBA Administrator Loeffler and EPA Administrator Zeldin held with Los Angeles officials on Wednesday on expediting relief for Palisades Fire victims.

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Reply 1 - Posted by: mifla 2/6/2026 11:26:02 AM (No. 2065583)
COVID was a gold mine for fraudsters.
26 people like this.

Reply 2 - Posted by: Noj15 2/6/2026 11:40:24 AM (No. 2065589)
News of this massive fraud was all over the place when Slick hauled in millions of dirty Covid money (masks...) from the Chinese. Better cuff Slick up before he decides to plunder the rest of the country. Treason then prison. Slick is dirty. Real dirty.
13 people like this.

Reply 3 - Posted by: Jesuslover54 2/6/2026 11:48:48 AM (No. 2065594)
I don't know what keeps 80% of people in CA. I imagine the 20% have it pretty good.
14 people like this.

Reply 4 - Posted by: Krause 2/6/2026 11:53:24 AM (No. 2065597)
California, the land of widespread incompetent leadership, fraud, corruption and all around stupidity.
20 people like this.

Reply 5 - Posted by: Plex 2/6/2026 1:00:43 PM (No. 2065626)
I lived in CA for decades (80's and 90's). The weather and geography are outstanding and it was easy for a resident to ignore what went on in Sacramento until the tax bite got bad.
11 people like this.

Reply 6 - Posted by: ldb51 2/6/2026 1:53:00 PM (No. 2065646)
Not holding my breath waiting for the apologies from IRS and Treasury over the sheer mass of tax dollars they have extorted from us, only to let it all be flushed like so much Charmin into the National Bureaucratic Sewer (the National BS).
11 people like this.

Reply 7 - Posted by: Rumblehog 2/6/2026 5:00:59 PM (No. 2065696)
Just imagine what all that "lost money" could do for the State... why, they might be able to advance their High Speed Rail track another 10 feet! /s
12 people like this.

Reply 8 - Posted by: janjan 2/7/2026 8:39:51 AM (No. 2065964)
Covid money was handed out like candy with zero oversight to keep people complacent while the economy was being trashed. Trump has some accountability for this.
2 people like this.

Reply 9 - Posted by: Strike3 2/7/2026 8:55:11 AM (No. 2065971)
This is the true measurement of the deep incompetence and dishonesty of the Biden administration. It used to be that democrat crooks could get away with hundreds of thousands of dollars here and there. Now we throw around billions like it was so much confetti.
7 people like this.

Reply 10 - Posted by: JimBob 2/7/2026 10:14:34 AM (No. 2066023)
I am not surprised. A couple of months ago, when the first story of the $Billion or so stolen in Minnesota first broke, I said that it was probably just a scraping off the Tip of the Iceberg. And so it has proven to be. And..... this is just what the Feds have found 'so far'!
6 people like this.

Reply 11 - Posted by: cor-vet 2/7/2026 11:13:16 AM (No. 2066057)
After our 'betters' steal all these billions of hard earned tax dollars, they have the audacity to tell the public they need more money, another CR or they will have to cut Social Security. They always seem to have enough to give to the favored class and they all get rich. There should be a total tax holiday for the next couple of years and if they want to continue operating, claw the money back from the thieves. I'm tired of reading about my tax dollars being shipped all over the world, to countries that hate us, by people in this country that hate us. And I'm tired of supporting donuffins, white or black or brown, while I do without. Sorry for the rant, I guess I'm just tired of it all. I'm 83 and have been paying for the past 70+ years!
7 people like this.

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