Gavin Newsom’s Giant Ponzi Scheme
California’s Con Man in Chief rips off American taxpayers while crushing small businesses to pay the state’s supersized population of scammers
A scheme too obscenely corrupt for his own party to stomach
Let them eat Gruel
Last November, the celebrity chef and restaurateur Andrew Gruel got a call from his wife, who manages parts of his business. There was an issue with their payroll taxes: They were $2,000 more than the couple had expected. Getting billed for thousands of dollars, without explanation, understandably alarmed the chef. So Gruel called their payroll company to find out what had happened. What he was told provoked him into posting a tweet that went viral the following day. “California has a budget shortfall,” his tweet explained, “and the federal government wants money back that it lent California for UI that it ‘lost.’ They are making up for it by having business owners pay it.” When Elon Musk commented with his signature one-word boost — “Really?” — Gruel replied, “Yup, state defaulted on their loan and the businesses were the co-signers (unknowingly).” In other words: During a time when California’s small businesses had already been decimated by debt they’d incurred because of COVID …