SBA Investigating $1.2 Trillion in Payments as Part of Fraud Probe: Loeffler

Loeffler described federal contracting fraud as ‘probably the worst kept secret in Washington.’

Administrator of the U.S. Small Business Administration, Kelly Loeffler, speaks during an interview with EpochTVs American Thought Leaders at her office in Washington on Jan. 7, 2026.Madalina Kilroy/The Epoch Times

Federal officials are reviewing approximately $1.2 trillion in payouts to root out fraudsters, according to Kelly Loeffler, administrator of the Small Business Administration (SBA).

“Federal contracting and the fraud that happens within it in Washington, D.C., around these programs are probably the worst kept secret in Washington,” Loeffler said during an interview with “American Thought Leaders” host Jan Jekielek.