COVID fraud report criticized

White House: Secret Service numbers old

The White House downplayed a statement by the U.S. Secret Service that nearly $100 billion at minimum has been stolen from COVID-19 relief programs, saying Wednesday that the estimate is based on old reports.

White House press secretary Jen Psaki, when asked to comment on the figure, said, “There is no new research, data or analysis of fraud here.”

The Secret Service told The Associated Press on Tuesday that the estimate is based on Secret Service cases and data from the Labor Department and the Small Business Administration.

An agency spokesperson said Wednesday that Secret Service officials were not amending a statement on their website, but did add a clarifying note to explain the figure is based on reports from the Labor Department and the Small Business Administration and that the Secret Service was not producing a new report.

“There isn’t a correction to be made, we just explicitly posted on the release’s webpage the same info we discussed yesterday,” Justine Whelan, a spokesperson for the Secret Service, wrote in an email Wednesday.

Psaki said “there was just an adding up” of two old reports of well-known challenges involving small business loans and unemployment insurance payments. “It’s also important to note that even those two older analyses combined payments that include mistakes in over- and under-payments, but it was a reference to two older ... reports.”

The Secret Service didn’t include COVID-19 fraud cases prosecuted by the Justice Department in its estimate Tuesday.

The COVID-19 relief programs were set up to help businesses and people who lost their jobs due to the pandemic.