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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.
9 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.
3 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.
3 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.
4 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.
0 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).
1 person likes 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
0 people like this.

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Posted by J. Arthur Brown 2/6/2026 11:21:45 AM Post Reply
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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