The Biden administration is under fire following whistleblower allegations that it implemented a race-based loan forgiveness program that discriminated against white farmers. According to a whistleblower from the U.S. Department of Agriculture (USDA), the administration offered to forgive up to 120 percent of outstanding farm loan debt—but only for farmers who met certain racial criteria. Critics argue that the policy prioritized skin color over financial need. At the time, the USDA was led by Secretary Tom Vilsack.
Section 1005 of the American Rescue Act states that it provided loan relief specifically for socially disadvantaged farmers and was only granted to those who qualified as socially disadvantaged farmers or ranchers. The whistleblower said that the Biden regime “was trying to keep this hushed because of the obvious implications of race-based loan forgiveness.”
A “socially disadvantaged farmer” was defined as an American Indian, Alaska Native, Asian, Black or African American, Native Hawaiian or Pacific Islander, Hispanic, or Latino. This qualified them to have their loan fully paid off, plus an additional 20 percent to cover taxes.
In an interview with NewsNation, the whistleblower said that only minority farmers received a letter from the agency informing them of their “potential eligibility as a Farm Loan Programs borrower for a payment under Section 1005 of the American Rescue Plan Act.”
“It’s not right,” the whistleblower said. “It was discriminatory. Unethical. And the people who pushed it are still in charge of the agency … (those) at the national office. Trump hasn’t gotten rid of them.”
The outlet noted that a group of farmers—specifically white farmers—sued the federal government, arguing that the loan forgiveness program was race-based and violated the Equal Protection Clause of the Constitution. A federal judge agreed, ruling that the program caused “an actual constitutional harm that cannot be undone.” The judge stated that white farmers “will suffer the harm of being excluded from eligibility for that debt relief program solely on the basis of race,” calling the harm “irreparable.”
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Following the federal court ruling, the whistleblower also revealed that white farmers were intentionally excluded from notifications about a new payment and loan modification program offered under the Inflation Reduction Act (IRA).
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