In March 2020, the CARES act granted almost $700 billion worth of funding to small business owners through the Paycheck Protection Program (PPP), intending to keep small business afloat during the unprecedented period of unemployment brought about by the coronavirus pandemic. Since being signed into law, however, the boundaries around the legislature have become murky as more and more people — including the rich and famous — apply for the loan, some without any intention of using the funding for its intended purpose. Surprisingly, Bachelor Nation has entered the chat, forcing a real conversation about what stars from the ABC dating show may be doing with the federal loans.
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When the coronavirus shut down the world, it also shut down most small businesses, slowing down income or even bringing the money flow to a complete halt. In light of this, former president Donald Trump signed the Coronavirus Aid, Relief, and Economic Security Act into law, dispersing billions of dollars worth of financial aid to businesses (in addition to the stimulus checks sent to tax-paying Americans). Though much of the funding was used as directed, the release of the PPP loans were also a pathway to fraud and scamming, resulting in a disturbing uptick of fraud investigations and sentencing across class lines.
Bachelor Nation has also gotten in on the PPP loan game, raising questions about why influencers with steady cash flow would need government assistance for their businesses. A new Vulture report revealed that a number of Bachelor alum had applied for and received federal funding through the PPP loans; per ProPublica.org, Tayshia Adams received $20,833 (for her LLC Tayshia Adams Media), Colton Underwood’s nonprofit foundation collected $11,355, and Lauren Burnham Luyendyk and Arie Luyendyk Jr. raked in $20,830 for their company, Instagram Husband. (Bryan Abasalo also received $15,000 worth of funding, but it’s unknown if the money was to be used specifically for his patient-care chiropractor practice in Miami. Dale Moss applied for a loan for his LLC as well but has not yet received his payout.)
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Having bore witness to the lavish lifestyles of these reality stars on social media, the reveal of their PPP payments has fans wondering why they would need the federal loans and exactly how the funds would be used. Several of the influencers are defending themselves from the backlash, however, speaking out in an attempt to clarify what the government aid would be used for. Tayshia’s team was quick to react to the controversy, explaining that the PPP loan was taken out to ensure that the former Bachelorette’s sole employee would be able to get paid a livable wage.
“As a business owner, television and podcast host, and brand ambassador, Tayshia obtained a PPP Loan that enabled her to hire an employee (someone who was previously unemployed), to whom she offers market-based pay and benefits,” shared Tayshia’s team in an official statement. “Since exhausting the PPP Loan funds, but in light of the growing economy, Tayshia has committed to retaining her employee for the foreseeable future.”
Colton also had something to say about the scamming allegations; his representatives asserted that he hasn’t personally received a cent from the $11,000 loan because it had all gone to the beneficiaries of his cystic fibrosis nonprofit organization, the Colton Underwood Legacy Foundation.
"Colton's nonprofit filed for the PPP loan after their annual fundraising events were cancelled due to COVID,” the representatives told TMZ in response to the scandal. “None of the PPP went directly to Colton. In fact, Colton has never received any form of payment from the foundation, all of the proceeds go directly to people living with cystic fibrosis."
Though the fans aren't fully convinced that most of Bachelor Nation actually needed these PPP loans to keep their businesses afloat, the legitimacy of their loan applications is ultimately up to the government to decide. And if the feds were to detect even a hint of PPP fraud, the consequences would be swift and serious — related criminal charges include bank fraud and making false statements to a financial institution, both of which come with significant fines and long prison sentences. So things could get very dark, very fast.