Public housing residents received $135 million in PPP, another 'significant indicator” of fraud, the agency watchdog said.
from the watchdog that oversees Cook County government. He found four employees had committed “financial fraud directed at the federal government” by wrongly collecting roughly $120,000 in payroll protection plan loans intended to help businesses survive the pandemic. County Inspector General Patrick Blanchard recommended they be placed on the county’s do not rehire list.
The Office of the Independent Inspector General, the county’s watchdog, has been “in contact with both federal and state officials regarding this line of OIIG investigations.” CHA Inspector General Kathryn Richards has also been looking whether CHA residents and program participants committed potential pandemic relief fraud as part of a broader PPP Loan Fraud Initiative. In an email to the Tribune, Richards says she “will provide a fuller summary” of the investigation into the employees in her next regularly scheduled quarterly report in mid-October.
“Given the widely reported, high level of fraud on the PPP loan program ... the OIG views a vast number of these loans as suspect and potentially fraudulent,” the report said, “raising concerns” about whether those individuals misled the CHA about their income. The CHA sets income limits for voucher eligibility based on Housing and Urban Development guidelines. That voucher program subsidizes housing payments for lower-income families.
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