From the U.S. Government Accountability Office, www.gao.gov

Transcript for: 2021 High Risk Update: Emergency Loans for Small
Businesses

Description: In March, Congress expanded eligibility for Economic Injury
Disaster Loans in an effort to quickly help small businesses that were
adversely affected by COVID-19. The Small Business Administration has
since made or guaranteed about 15 million loans and grants totaling over
$700 billion. GAO's Bill Shear discusses the risk of fraud and why we
added these loans to our 2021 High Risk List.

Related GAO Works: GAO-21-119SP, High-Risk Series: Dedicated Leadership
Needed to Address Limited Progress in Most High-Risk Areas

Released: March 2021 

[Video with GAO's Bill Shear discussing Emergency Small Business Loans] 

[Words on Screen:] In March, Congress created the Paycheck Protection
Program and expanded eligibility for Economic Injury Disaster Loans in
an effort to quickly help small businesses that were adversely affected
by COVID-19. 

The Small Business Administration--which administers both programs--has
since made or guaranteed about 15 million loans and grants totaling over
$700 billion dollars. 

In the agency's effort to respond quickly to the economic crisis, these
programs were implemented with limited safeguards to protect program
integrity and manage fraud risk.  

There is a need for improved oversight of these programs.

This is why we have added Emergency Loans for Small Businesses to GAO's
High Risk List.

Find out more, check out our report GAO-21-119SP at: GAO.gov