US HB825

Individuals convicted of financial misconduct or making false statements related to COVID-19 pandemic SBA loans (PPP, EIDL) or grants (Restaurant Revitalization Fund, Shuttered Venue Operators Grant) become permanently ineligible for future SBA financial assistance

Small businesses with convicted associates—defined as officers, directors, owners of more than 20% equity, key employees, or controlling entities—are also barred from receiving SBA assistance

Disaster loans under Section 7(b) of the Small Business Act are exempt from the prohibition, allowing affected businesses to still receive disaster relief

"Finally convicted" requires all appeals to be exhausted or the appeal window to expire before the ban takes effect

Passed the House of Representatives on February 24, 2025, and does not apply retroactively to contracts entered before enactment