The American Small Business League (ASBL) has filled for an injunction against the Small Business Administration (SBA) to halt rampant fraud and corruption that has cheated middle class small businesses out of hundreds of billions, if not trillions, of dollars in government contracts and subcontracts.
We believe the Obama Administration has cheated the nation’s 28 million small businesses, including women, minority and disabled veteran-owned small businesses, out of hundreds of billions in federal contracts and subcontracts.
The Obama Administration has cheated small businesses in all categories in two main ways:
First, to fabricate and falsify the volume of federal contracts awarded to small businesses the SBA and federal agencies report billions a month in federal contracts awarded to Fortune 500 firms and corporate giants as contracts going to small business. There is absolutely no language in the Small Business Act that would allow this. It’s going to be tough for Obama Administration attorneys to argue this case when the SBA’s Inspector General has named the diversion of federal small business contracts to big businesses as the number one problem at the SBA every year of the Obama Administration. Did I mention the SBA Inspector General Peg Gustafson was appointed by President Obama?
I worked with CBS Boston on their damming investigative piece on the Obama Administration’s policy of cheating small businesses out of billions by diverting federal small business contracts to some of the biggest companies in the world.
It’s going to be interesting to hear the Obama Administration attorneys try and explain this fraud to the Federal District Court judge considering President Obama released the statement, “It is time to end the diversion of federal small business contracts to corporate giants” in 2008.
The second way the Obama Administration has blatantly defrauded all categories of small businesses is by falsifying the government’s compliance with small business contracting and subcontracting goals. Public Citizen released their investigative report titled “Sleighted” in 2015.
They accused the Obama Administration of using accounting tricks to “create false impression that small businesses are getting their share of federal procurement money.”
The Small Business Act clearly stipulates that small business shall receive a minimum of 23% of the total value of all federal contracts. Within that category, the goal states 5% for women-owned small businesses, 5% for minority-owned firms, and 3% for disabled veterans.
According to the Congressional Budget Office, the total discretionary spending budget in fiscal year 2015 was $1.2 trillion. One of the nation’s leading experts on federal contracting law, Professor Charles Tiefer, issued a legal opinion that found the total federal acquisition budget that should be used in calculating the percentage of federal contracts awarded to all categories of small businesses to be at least $1.1 trillion.
The Obama Administration has consistently defrauded all categories of small businesses by falsifying the true percentage of contracts awarded to small businesses by using a federal acquisition budget that is less than 30% of the real number.
To claim the Obama Administration had met or exceeded all federal small business contracting goals for fiscal year 2015, the SBA used an acquisition budget of just $352 billion. Does anyone believe the federal government only spent $352 billion of the total $3.9 trillion-dollar budget in 2015?
Research by the ASBL indicates that by the time President Obama leaves office, woman-owned small businesses will have been cheated out of as much as $300 billion in federal contracts and subcontracts. Minority-owned small businesses will have been defrauded out of another $300 billion. Disabled veteran-owned small businesses will have been cheated out of as much as $200 billion.
In total, the Obama Administration will have cheated all categories of small businesses out of over $1.6 trillion in federal contracts and subcontracts.
These are not conspiracy theories, the ASBL has won over 30 legal battles in federal court. You can’t do that if you’re a conspiracy nut, can you?
I have already sent an open letter to Mr. Trump in the form of a national press release asking him to end the rampant fraud and abuse the Obama Administration has inflicted on America’s top job creators.
If Donald Trump wants to be elected president, he needs to bolster his support with America’s 28 million small businesses and the 130 million voters they employ. Trump also needs to boost his support with women and minorities.
Donald Trump should back the ASBL injunction to end the government fraud and corruption that has defrauded small businesses owned by women, minorities and disabled veterans out of hundreds of billions of dollars.
What better way to make America great again than to stop the federal government from cheating the 28 million American small businesses that are responsible for over 50% of the private sector workforce and over 50% of the Gross Domestic Product and the overwhelming majority of net new jobs.