$3 million meant for small business went to companies Newsom founded

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According to ABC News, at least eight companies partially owned by Gov. Gavin Newsom collectively received millions of dollars from the Paycheck Protection Program, according to an ABC7 analysis. This was money slated for small businesses suffering from the pandemic.

Newly-released data by the SBA indicated PlumpJack businesses – including wineries, bars, and restaurants – received nearly $3 million altogether.

In 2018, Gov. Newsom placed his ownership interests in the PlumpJack Group into a blind trust. This means he would have no knowledge or role in the company’s business decisions during his office time.

Uh, sure.

The ABC7 I-Team discovered discrepancies between that company’s SBA data and publicly available records that appear to raise questions about how much money some companies received under the program.

ABC7’s analysis found at least nine companies affiliated with the PlumpJack Group received PPP loans.

ABC7 asked PlumpJack Management Group to clarify how the nearly $3 million of PPP funding was spent.

They wrote in a statement:

“Like many other companies facing extreme financial duress during the pandemic, we used loan monies to protect our workers and keep them employed. Our staff members and their loved ones have depended on these programs for their livelihoods. Gavin Newsom is not affiliated with the operation of the companies in any way. Any suggestion otherwise is unequivocally false,” said Jeff Nead, spokesperson for the PlumpJack Management Group.

Governor Newsom allegedly doesn’t know what is going on. However, he is listed as the founder on the website, and his sister Hilary Newsom is listed as the company’s President and Partner.

In total, nearly $16.8 billion in PPP funding went to more than 130,000 companies across the Bay Area. The average number of employees companies retained is 10.

He’s shutting down and destroying California’s small businesses.


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