Reports

The objective of this review is to develop other MSLP audit ideas derived from our data analytics platform and risk assessment. 

The objective of the audit is to determine if Map Large follows the terms and conditions of its direct loan agreement. 

The Federal Reserve Bank of Boston manages the Main Street Lending Program (MSLP) through a Special Purpose Vehicle, which is backed by a $16.6 billion equity investment by Treasury. SIGPR will issue cyclical interim reports to Treasury on the information gathered from the various banks that participate in the MSLP.

Treasury contracted with outside private-sector entities regarding making, purchase, and management of the loans, and other investments it made under the programs established under the CARES Act, Section 4003. Treasury established these contracts for CARES Act implementation services. The objective is to determine if the process Treasury used to select contractors for support services, complied with Federal Acquisition Regulation.

Mesa Airlines, Inc. received a $195 million direct loan from Treasury pursuant to section 4003(b)(1) of the CARES Act. The loan agreement includes covenants by the Mesa Airlines, Inc. to comply with certain restrictions on employee compensation, stock repurchases, dividends, and other areas as required. SIGPR will obtain financial records to test compliance with the loan agreement.

The Audit of Treasury’s Monitoring of the Direct Loan Program has two objectives. First, the Office of Audits will determine whether Treasury had a sufficient policy in place to guide its monitoring of the direct loans. Second, the Office of Audits will determine whether Treasury monitored borrowers’ compliance with the requirements of the CARES Act and the terms and conditions of the borrowers’ loan agreements, as well as whether Treasury followed up to resolve any issues that it detected.

The Office of the Special Inspector General for Pandemic Recovery is evaluating funds that were allocated to the Federal Reserve System’s Main Street Lending Program (MSLP), which had 319 lenders and 1,830 borrowers participating in loans totaling more than $17 billion. The objectives of the audit are to 1) assess the process used by banks to issue loans under the MSLP program; 2) evaluate the process used by the Federal Reserve’s Special Purpose Vehicle to purchase the loans;  3) determine vulnerabilities based on a risk-based analysis; and 4) identify specific areas that warrant further audit work.
 

The Office of the Special Inspector General for Pandemic Recovery is assessing the Department of the Treasury's Direct Loan Program, which provided approximately $2.7 billion through 35 loans to passenger air carriers and related businesses, cargo air carriers, and businesses critical to maintaining national security. The objectives of the audit are to 1) determine if the processes to approve loans followed requirements under Section 4003(b) of the CARES Act and other appropriate regulations and guidance and 2) evaluate Treasury’s Direct Loan Program loan portfolio management process and determine whether it follows best practices established by the Office of the Comptroller of the Currency or other appropriate authority. As part of this effort, SIGPR is partnering with the Department of Defense OIG in reviewing the loans that were issued in the interest of national security. 
 

Treasury reports that the Hardest Hit Fund is in a wind down status. SIGTARP will evaluate the status of the program, and Treasury’s planning of the program’s wind down. This will include, for example, TARP dollars remaining to be spent by state agencies, as well as current and estimated future program activity. It will also review Treasury’s direction and guidance to state agencies for wind down planning, and the state agencies’ response.