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Media Will Ignore Fraud in Obama Administration Small Business Data

I am predicting that, if and when, the Obama Administration finally does release the FY 2013 small business contracting data it will be unreported in the mainstream media that it includes billions of dollars in contracts to corporate giants.

Every year of the Obama Administration, the Small Business Administration (SBA) releases their annual small business “Scorecard” data late on a Friday afternoon to try and reduce media pick up on the falsified and fabricated data. Last year as predicted by the American Small Business League (ASBL), the SBA released their small business data just before the July 4th weekend. The SBA report is supposed to indicate the volume and percentage of federal contracts awarded to small businesses, but is greatly exaggerated by the inclusion of thousands of large businesses.

One of the reasons the SBA claims they take 9 to 10 months after the end of the fiscal year to release the data is so they can insure the data is “clean” and free of “anomalies” such as “miscoding” that would erroneously report awards to large businesses as small business contracts.

In 2010 after spending nine months ensuring the small business contracting data was clean, 61% of the top 100 recipients of federal small business contracts were in fact large businesses. In the SBA’s FY 2011 “clean” data 72% of the top 100 recipients were in fact large businesses. In 2012, 235 Fortune 500 firms received federal small business contracts and in FY 2013, 175 Fortune 500 firms received federal small business contracts.

Dozens of federal investigations and investigative reports in the media have found that Fortune 500 firms and thousands of large businesses around the world have been the real recipients of billions of dollars in federal contracts that the Obama Administration has claimed were awarded to small businesses.

Some of the firms that have received federal small business contracts since President Obama was elected include: Microsoft, Oracle, IBM, Apple, Boeing, AT&T, Verizon, Chevron, General Electric, Dell, Hewlett-Packard, Lockheed Martin, Raytheon, Northrop Grumman, Textron, PepsiCo, Disney, British Aerospace Engineering (BAE) and Rolls-Royce.

When challenges to the SBA’s inclusion of billions of dollars in contracts to Fortune 500 firms and other large businesses in their small business contracting data arise, the SBA will stick to their tried and true excuses of, “miscoding, computer glitches, simple human error and anomalies,” and it is unlikely any journalist will challenge their absurd and illogical excuses.

No journalist has ever asked any SBA official why the alleged random errors do not have a random pattern of distribution, but 100% of the time, for over 14 consecutive years, report awards to large businesses as small business awards to inflate the true percentage of awards to legitimate small businesses.

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