Let me start off by saying, I TOLD YOU SO. It looks like my Jan. 29 blog was correct.  

I first predicted Obama would close the SBA under the pretense of combining it with the Department of Commerce in Nov. of 2008.

Since then I have continued to sound the alarm on Obama’s scam to permanently close the SBA on radio, TV and in dozens of press releases and blogs.

Why would the President of the United States want to close the only agency in Washington to help middle class small businesses? Isn’t this the same man that just a few days ago in his State of the Union Address spoke so passionately about income disparity, jobs and “middle class economics”?

According to the latest data from the U.S. Census Bureau, 98% of all American companies have less than 100 employees. These firms are responsible for over 90% of the net new jobs, over 50% of the private sector work force, over 50% of the Gross Domestic Product and over 90% of all U.S. exporters.

The Small Business Administration is the one and only federal agency in history created specifically to help the middle class and the 28 million small businesses where most American’s work. The largest economic stimulus program ever passed by Congress to create jobs in the middle class is the Small Business Act of 1953. Current federal law mandates that a minimum of 23% of the total value of all federal contracts be awarded to middle class small business.

The Small Business Administration is charged with managing this program and all other federal programs that have been created to help middle class small businesses.

So why would Obama want to close the only federal agency in our entire federal government that was specifically created to help the middle class?

Could it be to cover-up the rampant fraud and abuse that has been uncovered in virtually every program administered by the SBA during his administration? Did I say cover-up? Anyone that believes in government cover-ups must be a conspiracy nut right? What if a Federal District Court Judge calls it a cover-up?

In a Nov. 23 hearing on a federal lawsuit I filed against the Pentagon for refusing to release small business subcontracting data, Federal District Court William Alsup stated, “The purpose of the Freedom of Information Act is so the public can see how our government works. Congress passed this law to make the small businesses have access to some of these projects, and here is the United States covering it up.”

Why would the Obama Administration want to cover-up small business subcontracting data? Could it be to cover-up rampant fraud and abuse against middle class small businesses?

The truth is every year of the Obama Administration the SBA Inspector General, that was appointed by President Obama, has named the diversion of federal small business contracts to large businesses as the number one problem at the SBA.

A long series of federal investigations have found blatant fraud in virtually every program administered by the SBA. Dozens of investigative stories have been produced on the fraud and abuse at the SBA.

The truth is President Obama wants to close the SBA to bury the evidence of hundreds of billions of dollars in felony federal contracting fraud by every agency in his administration and by many of the government’s largest prime contractors.

That’s the real reason the Pentagon won’t release small business subcontracting data and that’s the real reason Obama wants to close the SBA.

Think of the utter absurdity of closing the smallest agency in government under the pretense of “streamlining government”. The SBA’s total annual operating budget is a measly $711 million. That’s about .001% of what the US spends on defense.

It has been widely reported for over a decade that trillions of dollars are unaccounted for at the Pentagon. As early as 2001 former Defense Secretary Donald Rumsfeld stated, “According to some estimates, we cannot track $2.3 trillion in transactions.

If Obama really wanted to streamline government he would start by ending the staggering financial mismanagement and corruption at the Pentagon.

If he actually wanted to help the middle class and boost “middle class economics” he would double the SBA’s budget, not close it, and end the rampant fraud in all federal small business programs.

But we’re not going to see that out of Obama. He will push to close the SBA and let the trillions of dollars in missing funds at the Pentagon continue to go unchecked.

This is proof he is not the man so many Americans hoped he would be. He clearly couldn’t care less about the middle class. Obama’s scam to close the SBA to cover-up the fraud his administration has fostered will likely go unreported in the mainstream media.

I’m going to do my best to give Obama an example of the famous quote from President John F. Kennedy, “One man can make a difference and everyone should try.”

ASBL documentary trailer