Concerns have been raised on whether funds for the Payment Protection Program (PPP) aimed to help small businesses have been distributed fairly. And now a local small business advocate is suing The Trump Administration for fraud.
The purpose of this lawsuit is to reveal the dollar amount of all loan recipients, big or small. And The American Small Business League is taking the Trump Administration to federal court to get those answers.
“The purpose of PPP program was to help the 30 million small businesses where most Americans work and it’s a small business stimulus program, and as we’ve seen in the media, a large percentage of the money, I suspect the majority went to some very very large businesses,” said LLyod Champman, President, and Founder of American Small Business League
Including local businesses like Big Horn Country Club and The San Bernardino Archdiocese, and national political parties on both sides of the political aisle, even including Kanye West’s fashion line.
Chapman also suspects that the lawsuit will find big discrepancies when it comes to minority business owners.
“What we’re seeing so far is that legitimate small businesses owned by Black and Hispanic individuals have been almost excluded from the program, and here in California half the population is a minority,” explained Chapman.
With a winning record of 98.5% spanning over 30 years, Chapman is confident he will win this case.
“You cannot withhold information under the freedom of information act unless it qualifies for one of the six main exemptions, and this information does not qualify for one of those exemptions so I think the first hearing we have, I could win the first hearing,” said Chapman.
Chapman tells NBC Palm Springs that they are hoping to get a hearing within the next sixty days but suspect that the hearing could be delayed until after the election.