Companies part of group founded by CA governor collectively get nearly $3 million in PPP loans, data shows

SAN FRANCISCO (KGO) -- At least eight companies partially owned by Gov. Gavin Newsom collectively received millions of dollars from the Paycheck Protection Program, according to an ABC7 analysis.

While data released by the Small Business Administration earlier this year showed the PlumpJack Group received up to $350,000 worth of PPP loans, newly-released data by the SBA indicated PlumpJack businesses - including wineries, bars, and restaurants - received more than eight times that amount at nearly $3 million altogether.

In 2018, Gov. Newsom placed his ownership interests in the PlumpJack Group into a blind trust. This means he would have no knowledge or role in the company's business decisions made during his time in office.

"It's unexpected for a 14 employee organization to get nearly $1 million," said Sean Moulton, a senior policy analyst with Project on Government Oversight (POGO). He specializes in tracking PPP funds. "The purpose behind this program was to save entry-level jobs, people going in and working on that paycheck. That was what we put this out there for, to stop unemployment."

The average small business loan for California companies retaining 14 employees was roughly $128,000. Yet, the PlumpJack entity Villa Encinal Partners LP - that according to SBA data also retained 14 employees - received more than seven times that amount at $918,720.

CalMatters revealed the governor's 2018 tax returns show he and his wife made $1.2 million from wages and investments - a majority of which stems from his ventures in wine and hospitality