SBA Refers 689 Former 8(a) Contractors to GSA for Fraud Audits

On October 21, the U.S. Small Business Administration (SBA) announced that it referred 689 firms previously removed from its 8(a) Business Development Program to the General Services Administration (GSA) for a comprehensive review of their federal contract awards. According to a corresponding GSA announcement, the firms received federal contracts with a combined ceiling of approximately $5.5 billion. GSA will review those awards for potential fraud, false statements, financial misrepresentations, and improper pass-through arrangements, with suspected misconduct potentially referred to the Department of Justice (DOJ).