According to several newly-filed lawsuits, Senator Thom Tillis’ Wall Street campaign donors may be to blame as small business owners across North Carolina struggle to get access to federal Paycheck Protection Program (PPP) support.
North Carolina ranks 42nd in the nation for the percentage of eligible small businesses getting grants from the PPP, and just 22% of companies with less than 5,000 employees got loans. Local small business owners report feeling like a “deflated balloon,” unsure if they’ll get relief and when.
Now, several new reports and lawsuits allege that Wall Street banks, including those donating to Senator Tillis’ reelection campaign, reportedly “prioritized” sending PPP support to big corporations in order to maximize loan-origination fees and their own profits.
Tillis has received more than $43,000 from four of the Wall Street banks named in the new lawsuit – JPMorgan Chase, Bank of America, U.S. Bank, and Wells Fargo, as Wall Street has “zeroed in on Tillis” to prop up the vulnerable incumbent.
Read more on how small business have struggled with the PPP:
- Charlotte Business Journal: Can small NC businesses do better in the next PPP round? It would be hard to do worse
- ABC11: Fayetteville’s Chef Judy closes 6 restaurants while waiting to be approved for Payroll Protection Program
- ABC11: Raleigh small business owners run into problems applying for federal Paycheck Protection Program
- Winston Salem Journal: Local small businesses question why, how they were left out of federal loans
- Durham Herald Sun: With initial funding dried up, startups still struggle to navigate PPP loan process
- Charlotte Business Journal: Small businesses in the Carolinas among nation’s hardest hit by coronavirus pandemic
- News & Observer: Frustrated with ‘paycheck protection,’ restaurant owners turn to state officials for help