Justice Department Responds to FOI Law Suit
Justice Department Responds to FOI Law Suit
The Justice Department, acting on behalf of the Small Business Administration (SBA), has responded to a suit filed in federal court under the Freedom of Information Act (FOI) by the American Small Business League (ASBL). The SBA is refusing to release the name of a contractor that was found to be intentionally misrepresenting itself as a small business in order to illegally receive federal small business contracts. U.S. Attorney Kevin V. Ryan is claiming exemptions under the Freedom of Information Act that would allow the government to withhold the name of the firm because of an ongoing criminal investigation.
The SBA’s Office of Inspector General conducted an investigation into the matter last year. In June 2005, the Inspector General recommended to SBA Administrator Hector Barreto that the firm in question be debarred from doing business with the federal government. Barreto will leave office this month without taking any punitive action against the firm.
Under federal law, misrepresenting a firm’s status as a small business in order to receive federal small business contracts is punishable by up to ten years in prison, a $500,000 fine per occurrence, and permanent debarment from doing business with the government.
The ASBL believes the company may have illegally received millions of dollars in federal small business contracts, and if so, should be debarred and prosecuted according to the law.
