The Small Business Administration (SBA) has halted more than $5.5 million in annual federal funding to Minnesota after explosive findings revealed that individuals tied to the infamous $1 billion Somali fraud scheme also received millions in taxpayer-backed Paycheck Protection Program (PPP) loans.
SBA Administrator Kelly Loeffler announced the funding freeze Tuesday in a scathing post on X, directly notifying Democrat Governor Tim Walz that his state can no longer be trusted with federal tax dollars.
Loeffler wrote on X:
Today, I informed Governor Tim Walz that SBA is halting $5.5 million in annual funding to Minnesota pending further review.
This action follows alarming findings: individuals indicted in the $1 billion Somali fraud scheme also received at least $3 million in PPP loans, and SBA has since identified 13,600 additional PPP loans in Minnesota – totaling $430 million – suspected as fraudulent.
With dozens of investigations underway, the conclusion is unavoidable: Minnesota cannot be trusted to administer federal tax dollars. Its socialist welfare system has enabled fraud at industrial scale, at the expense of honest Americans – and these are the consequences.
Hellbound and Down 