Vance announces about 870,000 people suspected of defrauding COVID-era programs barred from future federal loans

Updated on: September 14, 2026 / 1:03 PM EDT / CBS News

Kansas City, Missouri — Vice President JD Vance announced Monday the Trump administration will suspend roughly 870,000 people suspected of defrauding pandemic-era small business programs from receiving future federal loans.

The vice president contended that borrowers who stole taxpayer money should no longer be eligible to receive loans from government-backed programs.

"If you screwed the American taxpayer, the federal government is now going to say you're cut off, no more," Vance told reporters. "You shouldn't be applying anymore, and if you do apply, you're no longer able to get those benefits."

His remarks came as the Justice Department announced a slew of cases in a nationwide crackdown on fraud involving the COVID-19-era Paycheck Protection Program.

The department's enforcement push, which ran from June 12 through Sept. 1 and was dubbed "Heartland fraud surge," resulted in actions involving more than 160 defendants and approximately $245 million in intended losses to taxpayers. The operation was put into action more than five years after the government pushed emergency loans to businesses nationwide that were struggling as a result of the coronavirus pandemic.

The initiative involved prosecutors from 44 U.S. Attorney's Offices…

Original source: https://www.cbsnews.com/entertainment/