- Home legislators on Friday demanded five large, openly traded business return the $10 million loans they got that were meant for small businesses.
- Just one company, MiMedx, said it would return the $10 million Paycheck Defense Program loans.
- Another, Quantum, stated its $10 million loan helped save jobs it would otherwise need to cut, and does not plan to return the cash.
- Simply 48 public business of the 387 that got PPP loans have returned the cash.
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United States agents blasted five openly traded business for taking Paycheck Security Program loans means for small companies, leading at least one to return the money. MiMedx stated late Friday it was repaying its $10 million loan.
” Given that your business is a public entity with a significant financier base and access to capital markets, we ask that you return these funds instantly,” the letters, the committee’s first main action, stated.
Large corporations like Shake Shack, Ruth’s Chris, and the Los Angeles Lakes (all of which returned their loans) were lightning rods for public backlash that eventually led to a more particular self-certification as part of the application and evaluations by Treasury authorities on loans bigger than $2 million.
” It is regrettable that a little number of companies that have actually produced a lot of promotion that took loans,” Treasury Secretary Steven Mnuchin told CNBC at the time
If the companies addressed by the committee opt to not return the cash by May 11, legislators desire to see “all documents and interactions” in between them and the Small Service Administration in order to prove their requirement for the funds and suitable usage.
” Congress did not mean for these funds to be used by large corporations that have a significant financier base and access to capital markets,” the legislators’ stated.