Ruth’s Chris Steak House Is Returning Small Business Cash Back to the Feds

Ruth’s Chris Steak House Is Returning Small Business Cash Back to the Feds

Confronted with mounting criticism, Ruth’s Chris Steak House — which operates greater than 100 eating places in North America — will return the $20 million coronavirus small enterprise mortgage is obtained from the federal Paycheck Protection Program, NBC News reported Thursday.

The $350 billion PPP was designed to rescue the thousands of small companies that have seen their companies dry up due to social distancing shutdowns.

Ruth’s Hospitality Group pocketed two $10 million loans, one for every one of its subsidiaries — sparking widespread outrage and a petition drive calling for the corporate to return the cash so it will be accessible to the small companies it was meant to assist.

The corporate argued that as a result of it had fewer than 500 at every location it certified for this system, which shortly ran out of money and needed to be given an added $250 billion to remain afloat, a part of a $484 billion stimulus bundle the Senate handed this week and the House was anticipated to go Thursday.

A petition with greater than 261,251 signatures as of Thursday afternoon circulated this week demanded the chain — which fees almost $100 for a Porterhouse for two at most locations, much like high-end New York steakhouse — return the cash.

The corporate could be “shamed perpetually” if it didn’t fork over the cash, the petition added. Shake Shack already announced it would return the $10 million it obtained from the PPP program after the same public outcry.

After the names of enormous publicly traded corporations who received funding below this system have been made public, Treasury Secretary Steve Mnuchin warned that PPP was not meant for these sorts of corporations and mentioned there could be penalties except they gave the cash again, the community reported.

Shake Shack and Ruth’s Chris each received their loans from banking big JPMorgan Chase. The SBA mentioned any firm that provides the cash again earlier than May 7 will probably be deemed to have acted in good religion.