Politics

TRUMP STRIKES BACK: SBA FREEZES 111K California Borrowers in MASSIVE $8.6B Pandemic Fraud Crackdown

Gary FranchiFebruary 7, 2026104 views
TRUMP STRIKES BACK: SBA FREEZES 111K California Borrowers in MASSIVE $8.6B Pandemic Fraud Crackdown
Photo by Generated on Unsplash

President Trump's Small Business Administration just delivered a crushing blow to pandemic fraudsters, freezing over 111,000 California borrowers connected to a staggering $8.6 billion in suspected COVID loan abuse. This sweeping crackdown targets rampant fraud in PPP and Economic Injury Disaster Loan programs that spiraled out of control during the Biden years.

The massive operation suspended 111,620 borrowers across California – exposing the Golden State as ground zero for pandemic relief scams that robbed hardworking Americans of resources meant for legitimate small businesses struggling during lockdowns.

Conservative commentator Sean Hannity highlighted the California connection, posting on social media: "CALIFORNIA SCHEMIN': SBA Freezes 111K California Borrowers After Flagging $8.6B in Suspected COVID-loan Fraud." The numbers tell a damning story of how liberal policies created a breeding ground for massive theft of taxpayer dollars.

"What's most damaging about this ongoing fraud is how it erodes trust and jeopardizes the American Dream for millions of hardworking Americans," noted political observer @GOsisike on social media.

This crackdown represents everything Trump promised – swift action against fraud, accountability for bad actors, and protection of taxpayer money. While the previous administration allowed billions to flow out the door with minimal oversight, Trump's team is now doing the hard work of cleaning up the mess.

California: America's Fraud Capital

The fact that California dominates this fraud investigation surprises absolutely no one who's been paying attention. The same state that can't manage its homeless crisis, energy grid, or basic governance apparently couldn't prevent massive fraud in federal relief programs either.

As one social media user noted, "The Trump administration announced a massive crackdown on COVID-era fraud in California, with the SBA suspending 111,620 borrowers connected to $8.6 billion in suspected PPP and EIDL abuse."

This is just the beginning, Patriots. When Trump promised to drain the swamp and hold fraudsters accountable, he meant every word. How many more billions will this administration recover that Democrats allowed to disappear?

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Gary Franchi

Award-winning journalist covering breaking news, politics & culture for Next News Network.

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T
TaxpayerAdvocateVerifiedjust now
Good! As someone who pays their taxes faithfully every year, it infuriates me to see MY money stolen by fraudsters. Will there be criminal charges filed too?
L
LawAndOrderVerifiedjust now
There better be! Financial fraud of this magnitude should mean serious prison time.
C
ConservativeVoiceVerifiedjust now
8.6 BILLION dollars! Think about how many legitimate small businesses could have been saved with that money instead of lining criminals' pockets.
M
MainStreetUSAVerifiedjust now
Exactly! My friend's restaurant closed because he couldn't get the help he needed. This makes me sick.
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PatriotMikeVerifiedjust now
FINALLY! Someone with the backbone to go after these fraudsters. California has been getting away with this nonsense for too long.
T
TexasRedVerifiedjust now
About time is right! My small business followed every rule and barely got help while these scammers got millions.
A
AmericaFirst2024Verifiedjust now
Love seeing accountability! Drain the swamp and prosecute every single one of these thieves to the full extent of the law.
G
GoldenStateRealistVerifiedjust now
I live in CA and saw so many people bragging about their PPP loans who clearly didn't qualify. Glad someone is finally investigating this mess.
C
CommonSenseConservativeVerifiedjust now
This is what happens when you rush out trillions without proper oversight. The swamp creatures took advantage while honest Americans suffered.
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FiscalHawkVerifiedjust now
This is just the tip of the iceberg. I guarantee you there's fraud in every blue state that handed out money like candy during COVID.
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SmallBizOwner2020Verifiedjust now
I applied for PPP legitimately and had to jump through hoops for months. Meanwhile these fraudsters were getting approved overnight. How does that even happen?