Mnuchin says U.S. to audit virus relief loans after outcry

The United States will audit government-backed loans intended to relieve small businesses hit by the coronavirus to ensure they weren't taken out by large companies, Treasury Secretary Steven Mnuchin said on Tuesday, April 28.
The Paycheck Protection Program (PPP) was part of a $2.2-trillion stimulus package passed by Congress late in March to blunt the pandemic's impact on the economy, and is supposed to lend money to businesses with fewer than 500 employees.
But the initial $349 billion allocated was exhausted in less than two weeks, and news that large companies like upscale burger chain Shake Shack and the owners of the Ruth's Chris steak houses chain took money from the program sparked outrage.
Speaking on CNBC, Mnuchin said the Small Business Administration (SBA) would be reviewing the loans, which convert to grants if companies maintain their employees or rehire laid-off workers by June 30, and use three-quarters of it on wages.