Bailout Blunder

President Obama's small business fund has failed to take off, disbursing only $4 billion of the $30 billion it had earmarked for small firms facing a borrowing crunch.

But what is worse, a significant number of banks used the small business lending program to exit TARP using government funds with little resulting benefit for small businesses. A report found that $2.1 billion of the administration's $4 billion Small Business Lending Fund went to repaying bailouts.