Wyden's bookstore repays $1.5M

Nancy Bass Wyden has agreed to return nearly $1.5 million to the federal government. The payment covers funds received by her New York City bookstore, Strand Book Store, through a pandemic relief program that later barred businesses with congressional ties from participating.

The bookstore initially received $1.7 million in the first round of the Paycheck Protection Program in 2020. That early version of the loan did not exclude companies owned by members of Congress or their immediate families. However, a law passed in December 2020 changed the rules for the second round of funding. That expansion explicitly prohibited loans to businesses where a member of Congress or their spouse held a direct or indirect stake.

Jeanine Pirro, the U.S. attorney for the District of Columbia, stated that the bookstore received more than $930,000 in the second round despite the new restrictions. Her office described Bass Wyden’s certification that she met the qualifications as knowingly and materially false at the time.

Bass Wyden acknowledged the error in a written statement. She explained that federal regulations changed rapidly during the pandemic. Her accountant and the bank processing the loan were unaware of the new spouse ownership rules when the second application was handled. She characterized the mistake as unintentional and said the funds were returned as soon as the issue became clear.

Hank Stern, a spokesperson for Sen. Ron Wyden, said the senator had no involvement in the loan or the current agreement. He noted that the couple does not discuss Bass Wyden’s business operations. The Senate Democrats and Republicans have not issued further public commentary on the specific financial settlement.

The Strand Book Store is a well-known retailer in Manhattan. The repayment brings the total amount returned close to the initial $1.7 million disbursed in the first phase. The case has drawn attention to how family-owned businesses navigated shifting eligibility criteria during the federal response to the economic fallout from the virus.