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Lawmaker-linked businesses received PPP loans

Lawmaker-linked businesses received PPP loans
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Several businesses with ties to lawmakers received loans under the Paycheck Protection Program (PPP), according to examinations of data released Monday by the Small Business Administration (SBA).

Among the lawmakers whose businesses received loans were GOP Reps. Kevin HernKevin HernREAD: The Republicans who voted to challenge election results Top GOP lawmakers call for Swalwell to be removed from Intelligence Committee Lawmakers call for small business aid at all levels of government MORE (Okla.), Mike KellyGeorge (Mike) Joseph KellyRepublican rips GOP lawmakers for voting by proxy from CPAC Supreme Court won't review Pennsylvania GOP election lawsuits Pennsylvania's Democratic lt. governor files to run for Senate MORE (Pa.) and Markwayne MullinMarkwayne MullinSirota says eviction moratoriums can play key role in COVID-19 fight Democrats to levy fines on maskless lawmakers on House floor Growing number of lawmakers test positive for COVID-19 after Capitol siege MORE (Okla.).

KTAK Corp., a company owned by Hern that has several McDonald's franchises, received a loan between $1 million and $2 million. Kelly, who owns several car dealerships, has entities that received loans between $150,000 and $350,000. Mullin owns several plumbing businesses that received loans totaling between $800,000 and $2 million, according to The Hill's examination of the SBA data.

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The Washington Post and Politico previously reported on the ties between the three lawmakers and PPP recipients.

A Scranton, Pa., law firm where Rep. Matt CartwrightMatthew (Matt) Alton CartwrightSix ways to visualize a divided America Will Biden continue NASA's Artemis program to return to the moon? House Democrats pick Aguilar as No. 6 leader in next Congress MORE (D-Pa.) worked for 25 years and maintains a retirement plan received a loan between $350,000 and $1 million. Rep. Roger WilliamsJohn (Roger) Roger WilliamsDemocrats don't trust GOP on 1/6 commission: 'These people are dangerous' READ: The Republicans who voted to challenge election results Trump Georgia call divides House GOP MORE (R-Texas) owns several car dealerships in North Texas through his company, the JRW Corporation, which received between $1 million and $2 million.

Rep. Rick AllenRichard (Rick) Wayne AllenCapitol Police investigate report Maryland GOP Rep. Andy Harris tried to bring gun on House floor Georgia elections chief refutes election claims in letter to Congress READ: The Republicans who voted to challenge election results MORE (R-Ga.) is the founder of a construction company that received between $350,000 and $1 million, though spokeswoman Andrea Porwoll said the congressman relinquished his majority stake years before he became a lawmaker and his office consulted with the House General Counsel on the company’s eligibility for the loan. His wife is listed as a partner on the company’s website, but Porwoll said she has no decision-making authority at the firm.

Rep. Chip RoyCharles (Chip) Eugene RoySome Republicans say proxy voting gives advantage to Democrats House passes sweeping protections for LGBTQ people GOP's Chip Roy vows to fight Equality Act in court MORE (R-Texas) and his wife have a fractional stake in Atlas Sand Co., which received between $2 million and $5 million. A spokesperson said neither have decision-making authority.

Congressional offices for Hern, Kelly, Mullin, Cartwright, Allen and Roy said they were not involved in day-to-day operations of the companies and had no involvement in procuring the PPP loans.

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Rep. Devin NunesDevin Gerald NunesRepublican rips GOP lawmakers for voting by proxy from CPAC What good are the intelligence committees? CPAC, all-in for Trump, is not what it used to be MORE (R-Calif.) disclosed in an Ethics Committee filing last year that he is a limited partner in two California wineries, each of which received a PPP loan between $1 million and $2 million.

Spokespeople for Nunes and Williams did not respond to a request for comment. 

A business linked to the husband of Speaker Nancy PelosiNancy PelosiLawmakers demand changes after National Guard troops at Capitol sickened from tainted food Andrew Yang condemns attacks against Asian Americans Congress in lockdown: Will we just 'get used to it'? MORE (D-Calif.) received a PPP loan. Pelosi spokesman Drew Hammill told The Hill that the Speaker’s husband, Paul Pelosi, only has an 8.1 percent stake in the company.

“Mr. Pelosi is a minor, passive investor in this company,” Hammill said. “He was not involved in or even aware of this PPP loan.”

Businesses with links to members of Congress are not prohibited from receiving PPP loans. But the news that companies linked to lawmakers received loans comes as the program has been receiving scrutiny about whether it is helping the small businesses in most need of assistance.

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The SBA in April issued guidance that allows lawmakers and other federal officials to obtain loans without going through a review aimed at preventing conflicts of interest.

The PPP, created by legislation President TrumpDonald TrumpTrump announces new tranche of endorsements DeSantis, Pence tied in 2024 Republican poll Lawmakers demand changes after National Guard troops at Capitol sickened from tainted food MORE signed in March, is aimed at helping small businesses retain their employees during the coronavirus pandemic. Under the program, small businesses and nonprofits can receive loans that the federal government will forgive if employers use the money for payroll and other key expenses and maintain employee and compensation levels.

The SBA, in consultation with the Treasury Department, released data on Monday about recipients of loans for $150,000 or more. The agency also released information about loans under $150,000 that did not include the names of recipients.

The list of recipients for the largest loans shows that a wide variety of groups have received aid through the PPP, including health care organizations, restaurants, private schools, media companies and lobbying groups.

James Bikales contributed. Updated at 5:21 p.m.