This bill prohibits individuals convicted of COVID-19 loan fraud from receiving SBA assistance. It bars those who committed financial crimes related to PPP loans, Restaurant Revitalization Fund grants, or Shuttered Venue grants from future SBA programs except disaster loans.
Latest Action
Received in the Senate and Read twice and referred to the Committee on Small Business and Entrepreneurship.
AI Summary
Plain-English explanation of this bill
This bill prohibits individuals convicted of COVID-19 loan fraud from receiving SBA assistance. It bars those who committed financial crimes related to PPP loans, Restaurant Revitalization Fund grants, or Shuttered Venue grants from future SBA programs except disaster loans.
Last updated: 1/5/2026
Official Summary
Congressional Research Service summary
<p><strong>Assisting Small Businesses Not Fraudsters Act</strong></p><p>This bill prohibits individuals convicted of certain financial crimes from receiving assistance from the Small Business Administration (SBA).</p><p>Specifically, the bill prohibits individuals who have been convicted of a crime involving financial misconduct or a false statement with respect to certain COVID-19 loans (e.g., Paycheck Protection Program loans, Restaurant Revitalization Fund grants, and Shuttered Venue Operators grants) from receiving any financial assistance from the SBA (other than a disaster loan).</p><p>The prohibition includes SBA assistance to small businesses that have an owner, officer, director, or key employee who has been convicted of such a crime.</p>
Key Points
Main provisions of the bill
Bars COVID loan fraudsters from SBA assistance
Covers PPP, Restaurant, and Shuttered Venue fraud
Applies to owners, officers, and key employees
Excludes disaster loans from prohibition
Prevents repeat fraud by convicted individuals
How This Impacts Americans
Potential effects on citizens and communities
The SBA would have clear authority to deny assistance to pandemic fraud convicts. Small businesses led by honest owners would face less competition from bad actors. Taxpayer funds would be better protected from repeat offenders.
