JPMorgan hands out $30 billion in loans to small businesses: memo

FILE PHOTO: A J.P. Morgan logo is seen in New York City, U.S., January 10, 2017. REUTERS/Stephanie Keith/File Photo

(Reuters) – JPMorgan Chase & Co (JPM.N) has given out more than $30 billion in loans to over 250,000 businesses as part of the United States’ coronavirus aid program for small businesses, Chief Executive Officer Jamie Dimon said in a memo on Tuesday.

JPMorgan, the largest U.S. bank, approved more than $45 billion in new credit for its clients impacted by the COVID-19 pandemic in March and April, Dimon said in a memo to stakeholders.

Dimon said the size of the average loan under the Paycheck Protection Program (PPP) was $122,000 and half of the loans went to companies with fewer than five employees.

The U.S. Justice Department has sent grand jury subpoenas to big banks seeking records as part of a broader investigation into potential abuse of a $660 billion emergency loan program to help small businesses hurt by the novel coronavirus, two people with knowledge of the matter told here Reuters.

Dimon, who has been CEO of JPMorgan for over a decade, also said the bank’s strategy for returning more employees to work on-site hinges on using the latest data and information and prioritizes the health and safety of its employees.

(This story changes story link in paragraph 4)

Reporting by Noor Zainab Hussain in Bengaluru and Elizabeth Dilts Marshall in New York; Editing by Vinay Dwivedi

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