A recent report released by the U.S. Small Business Administration inspector general, highlights the vulnerability of the Paycheck Protection Program (PPP) and COVID-19 Economic Injury Disaster Loan (EIDL) program to fraudsters, particularly during the early stages of the pandemic.
As we delve deeper into this scandal, it becomes increasingly difficult to believe that such a massive fraud could occur without the knowledge and involvement of President Joe Biden himself.
The Enormous Scale of Fraud
According to the inspector general’s report, 17% of all COVID-EIDL and PPP funds were disbursed to potentially fraudulent actors. The estimated fraud amounts to over $136 billion for the EIDL program, accounting for 33% of the total funds spent.
Furthermore, the Paycheck Protection Program is estimated to have been defrauded of $64 billion, as confirmed by the inspector general. These mind-boggling numbers raise serious concerns about the oversight and accountability of the relief programs.
Unveiling the Alarming Statistics
As reported by The Associated Press on June 13, scammers and swindlers have potentially stolen approximately $280 billion in COVID-19 emergency aid, while an additional $123 billion was wasted or misspent.
These losses primarily stem from the SBA programs and a separate initiative to provide unemployment benefits to those affected by the pandemic. The $280 billion figure represents 10% of the total $4.2 trillion disbursed by the U.S. government for COVID relief aid. Strikingly, the federal government’s reported possible fraud amount aligns closely with the analysis conducted by AP.
The Ripple Effects of Fraudulent Payouts
The consequences of these fraudulent payouts extend far beyond the immediate financial losses. John Griffin, a finance professor at the University of Texas at Austin’s McCombs School of Business, emphasizes the impact on housing prices.
Griffin’s research reveals that individuals who fraudulently obtained Paycheck Protection loans were more likely to invest in real estate, leading to an average 5.7 percentage point increase in housing prices in ZIP codes associated with high levels of fraud.
Even after accounting for other factors influencing home prices, such as land supply and prior price growth, this increase equates to an average of $22,800 for a $400,000 house. Moreover, consumer spending in ZIP codes with substantial fraudulent funds also experienced significant inflationary pressures.
Read more: The Curious Case of US-China Meets: Russia suffers Economically
Biden’s Involvement and Ulterior Motives
With such an enormous fraud scheme involving billions of dollars, believing that the current Biden administration was unaware of the situation becomes increasingly challenging. It seems implausible that he could maintain innocence while such an extensive scandal unfolded under his watch.
Speculation arises regarding whether Biden had ulterior motives and benefited from these frauds. Some even suggest a hidden incentive, such as a 10% cut on all fraud-related transactions. While direct evidence is lacking, the circumstantial evidence raises questions about the extent of Biden’s involvement.
The $280 billion housing scam, coupled with the more comprehensive COVID relief fund fraud, reveals the alarming vulnerability and lack of oversight within the relief programs implemented during the pandemic.
The significant financial losses and subsequent inflationary pressures in the housing market demand accountability and immediate action. While concrete evidence linking President Biden to these fraudulent activities may be lacking, the Biden family’s former past raises legitimate concerns about his awareness and potential involvement.
Read more: Boom! Bulgarian Ammo Warehouses Explode Spoiling EU-Ukraine’s Sneaky Scheme
As the investigations continue, it is crucial to remember that Americans deserve transparency, accountability, and justice in the face of such shocking revelations.
Watch More: