Global Health Crisis: The Coronavirus Outbreak - Approximately 8.5 million euros in emergency coronavirus relief loans get repaid.
In the Saarland, substantially more than required coronavirus relief funds were given out at the onset of the pandemic in 2020. Over 8.5 million euros have been returned by local businesses and freelancers, as revealed by the Saarbrücken Ministry of Economy to the German Press Agency upon request.
Approximately 1,100 individuals chose to return 8.2 million euros voluntarily. To date, around 240 enforcement measures resulted in repayments totaling roughly 305,000 euros. The evaluation process continues, the ministry reported. Around 300 reports have been submitted suggesting potential subsidy scams.
The relief funds were meant to
Around 160 million euros in coronavirus relief funds were channeled into the Saarland. Initially, around 23,000 applications were granted approval. The first form of financial assistance for small businesses was provided by the federal relief aid, which could be applied for during the spring of 2020 for a three-month funding period. Its purpose was to maintain the economic viability of companies and freelancers and address urgent cash flow shortages during the crisis.
The announcement of the official reporting process in the Saarland was delayed until after the summer break, with most freelancers affected by the Pentecost floods as the primary reason. The process takes place through an online platform and aims to compare the financial shortages predicted by the recipients at the time.
The Federal Ministry of Economics estimates that around five billion euros in coronavirus relief funds were paid out unnecessarily shortly after the start of the pandemic in 2020. In all, around 13.6 billion euros in federal funds went to small businesses and freelancers nationwide. The actual payment was the responsibility of the federal states.
The Coronavirus relief funds, amounting to over 160 million euros in the Saarland, were intended to help maintain the economic viability of companies and freelancers, addressing urgent cash flow shortages during the pandemic. However, the Saarland saw substantially more than required Coronavirus relief funds being distributed at the start of the pandemic in 2020, leading to over 8.5 million euros being returned by local businesses and freelancers.
