photo credit: Andy Feliciotti / Unsplash |
The senators write that Planned Parenthood was ineligible for the funding because it is “a national organization with central control over its affiliates which has nearly $2 billion in assets, and over 16,000 employees nationwide…” The SBA rules for COVID relief required that recipients be small businesses with fewer than 500 employees.
After it was revealed that Planned Parenthood affiliates had received millions of dollars, the SBA told those affiliates that they must return the funds. The Senators mention 38 affiliates that received funding in their letter, but they note that only seven of them returned the funding. Furthermore, two affiliates received a second round of funding.
“It is unconscionable that SBA continues to approve PPP loans made to organizations which are clearly ineligible for funding,” states the letter. “This is unacceptable, not only because SBA, like other agencies, must be a faithful and responsible steward of taxpayer dollars but also because continuing to make funds available for Planned Parenthood affiliates is in direct violation of the law.
“We urge that the SBA promptly open an investigation into how these loans were made in clear violation of the applicable affiliation rules and if Planned Parenthood, relevant lenders, or staff at the SBA knowingly violated the law, and that appropriate legal action be taken if so.”
This is the fourth letter Members of Congress have sent to the SBA addressing this issue.