Salon, July 23, 2020: Watchdog questions why Wells Fargo reported giving only one large PPP loan to a Black-owned business
The Trump administration’s reliance on big banks to distribute small business aid under the Paycheck Protection Program and a lack of transparency requirements have resulted in many Black-owned businesses being shut out of the program. One bank, Wells Fargo, reported distributing only one PPP loan larger than $150,000 to a Black-owned business out of the more than 12,000 it gave out.
Even when they had better financial profiles than White-owned businesses, Black business owners faced racial discrimination from banks, according to a recent study
. A disproportionate number of PPP loans flowed to majority-White areas, The New York Times reported.
