Catholic News Agency reported yesterday that the Catholic dioceses of Rochester and Buffalo in New York filed suit on April 15 against the U.S. Small Business Administration challenging denial of access to emergency loans under the recently enacted Paycheck Protection Program.
The $349 billion in emergency loans were part of the Coronavirus Aid, Relief, and Economic Security (CARES) Act, signed into law by President Trump on March 27.
The bill provided, among other things, short-term relief for small businesses and certain non-profits affected by the disruptions from the coronavirus (COVID-19) pandemic....
An SBA rule, however, stipulated that the funds would not go to bankruptcy debtors. Both the dioceses of Rochester and Buffalo have filed for bankruptcy in the past several months, after being named in hundreds of clergy sex abuse lawsuits filed under New York’ Child Victims Protection Act.
