Where did the federal coronavirus aid to small businesses go? Tracking the money

Small businesses struggling to stay afloat have faced roadblocks and had patchwork success in receiving loans through the Payment Protection Program as other larger businesses received unneeded money.
8:39 | 06/25/20

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Transcript for Where did the federal coronavirus aid to small businesses go? Tracking the money
Fourteen years ago rooms detour is opened her good idea in Fresno. An American dream rooted in a mother's dying wish us. I promise yours then we didn't my own and since I work for so many people presume anything. So. I decided open it in my mom passed a couple of weeks after real condition. But now her flower shop is on the brink of permanent closure. The pandemic cutting deals like 80% and a federally that was promised to small businesses like Hearst doesn't seem to be coming. The gators billions of dollars that are there. I'm hoping and praying did with our determination each one of us they would be able to receive something some type of funding to help us. She's just one of many small business isn't desperately need the money and are running into one roadblock after another as they try to navigate the government program meant to be their lifeline. Which sounded so frustrated that they're taking their grievances to court was just about her car everytime he went in I was at replied. Now signs of incompetence and big business influenced her started to surface critics decrying the millions handed to well established corporations. At cast member of love in hip hop at Alanna. Is now accused of taking federal money. One man even being accused of spending his loans on luxury items like jewelry and car so. While people like Torres are running out of time when everything falls like it it's a domino effect. It's so tied to chairs act passed by congress in March to help revive a crumbling economy. And all encompassing two trillion dollar aid package meant to help the millions of Americans impacted. I cove in nineteen. Or of that aid money has gone into the paycheck protection program designed to provide financial relief for small businesses and their employees. At least 100000. Small business is have. Permanently close since the pandemic hit in March. At a record 45 point seven million Americans have filed new claims for unemployment benefits in just the last thirteen weeks. And this small community here that I'm aware of only one has received. One at the grounds all the others that I know. Have not received anything yet. Rosie Torres is one of those minority female business owners the president said would benefit from the program. But with no federal aid and business declining she's had to lay off three employees. When. Did it start to really hate you how concerning this would be financially for your business may be the first months they were closed. Having to Lido pool farmer she seems to make sure you've been for the people who work here. Was a big concern. How are they gonna feed their families. Tourist says she spent months cotton a PPP run around trying to get responses from banks pour put in charge of processing the loans. First I use terror are vague that we use for business. And they referred me to a different source never got a reply. So I decided to go to. Different vein and they referred me don't have to have a business loans to their veins. In which we did and so I called the SBA here. But I gotta returned email saying that they were to accept him anymore you basically tried to apply for these loans through it sounds like four different banks. Yes meantime large corporations like shake shack Ruth's Chris Steak House and the Alley lakers altogether initially received nearly 35 million dollars in loans due to loose guidelines that qualify them as small businesses. And after facing public backlash an outrage all three returned the money. But even the business is you managed to receive the money are realizing that PE PP. May not be a feel safe solution. Promise of our places was their first job to have her. Median boasts a coffee franchise that employees people with intellectual and physical disabilities. Has been Haney writes pride and joy after a Kobe shut down they're reopening day was one full of hope. The time you. Yeah. After receiving PPP funding in early April they were singled out as a prime example for the program's success. Earning a trip to the White House we will continue to take up the charge and help every one. Especially people with disabilities. Pursue the American dream. But the low money which was intended to carry your business during the shutdown has been spent and now seals are down 90%. White says she knew is the loans to keep her 120 employees on payroll and pay off rent and utilities for eight weeks of the national shut down. She's now had to lay off half of her employees. There's a sliver meat that was hoping that we would prove everybody wrong and this would be to one lay people it. Just poured into. The reality is still scary time. While people like Wright used the money to keep her business afloat there are fears that others may have been using the money fraudulently. Former loving hip hop Atlanta reality star Maurice fame class AKA. Arkansas no received more than two million dollars for his transportation company. Federal authorities allege he spent most of those funds more than one and a half million dollars worth on himself. Buying fancy jewelry and leasing 12019 Rolls Royce. He was arrested on federal bank fraud charges in May. But his lawyer Tanya Miller says well should be the least of everyone's concerns me is he appeared to give that money back sir. Next I'll. That such an investigation. We ET EI. Lines. Some individuals. To corporations. We're 89. And continue. Inch wheels RB. An patter of rain. And. Denied using any of the PPP loan proceeds to pay his personal debts and expenses and critics say that's part of the problem. It we don't know how the money is being used and who received the funds. We don't have the data. California democratic representative Katie Porter help sponsor the cares act. Do you think congress passed that bill too quickly without fully understanding what they were signing away we were having to face the reality that the current virus pandemic was unfolding quickly. Cases were skyrocketing. And I think even at that time I'm not sure we fully understood the reacted quickly to try to get that those resources out there because you were hearing from small businesses we can't make end of the month payroll in March Porter thinks total transparency is necessary it's absolutely not enough to only have a portion of the game you know we need to have a look at the entirety of the program. Rosie Torres has yet to receive any PPP money instead last week she noticed a random 3000 dollar deposit in her bank account. It was federal grant money from a separate disaster loans but she applied for earlier this year so you're winning parties with. We'll at the time she was told it couldn't be fulfilled because funds had run out. There's a gap somewhere that there it's not been filled in to be able to help people well she's grateful for the money she says it's only enough for one month and could disqualify her from receiving more money through PPP or other grants. Blue would be hoping for the best you have something that would help us from the government. To not be able to pay it back but it just say okay you're gonna work for this is to grant we're gonna help you. We're it is pick you up. British not. We'll just start all over. Patents are in the beginning. Which is not hard just keep doing it. For now all she can do whisk cling to hope the American dream is to own your own home. How I found nothing happened business. So we just didn't keep fighting for that American dream.

This transcript has been automatically generated and may not be 100% accurate.

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