Small Business Data Vanishes Amidst National Controversy
PETALUMA, Calif., Dec. 14, 2006 -- On Tuesday, December 12, 2006, the government revoked access to information that allows the public to determine the small business status of federal contractors within the Dynamic Small Business Search of the Pentagon's Central Contractor Registry (CCR). Around 3:00 p.m. Pacific time, information on company revenue and number of employees suddenly disappeared from company profiles. In its place, this message was posted, "A firm's actual revenues and number of employees are not releasable under the Freedom of Information Act." Employees of the American Small Business League (ASBL) discovered this while compiling information for an investigative report by a television network.
The decision to remove this information comes in the midst of a national controversy over Fortune 1000 firms receiving federal small business contracts. During the last four years there have been 14 federal investigations that have exposed billions of dollars in federal small business contracts have actually been awarded to some of the nation's largest defense contractors.
The Small Business Administration (SBA) managed the government's database of small business suppliers until a Government Accountability Office investigation found thousands of large firms listed as small businesses. Within a few months of this disclosure, the Pentagon took over the management of the small business database.
"This is another attempt by the government to keep Congress, the public, and the media from being able to prove that the Pentagon, the General Services Administration, and other federal agencies have completely falsified their small business numbers for several years," stated Lloyd Chapman, ASBL president. "This could potentially involve federal employees assisting companies to commit felony contracting fraud for which the penalty is 10 years in prison."
Chapman added, "It is our hope that the incoming Congress will put its foot down and take this database from the control of the Pentagon. This agency clearly does not have the best intentions in mind where small businesses are concerned."
The American Small Business League plans to file a Freedom of Information Act request to obtain this information. If declined, the ASBL will file suit in federal court in order to restore public access to small business contractor data. The ASBL has previously won three FOIA lawsuits against the SBA.
About the ASBL
The ASBL is founded on the principle that small businesses, the backbone of a vital American economy, should receive the fair treatment promised by the Small Business Act of 1953. See http://www.asbl.com.
Contact:
Lloyd Chapman, President
American Small Business League
707-789-9575
lchapman@asbl.com
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