FOR IMMEDIATE RELEASE
May 21, 2010
Petaluma, Calif. - The Department of Energy (DOE) has lost a Freedom of Information lawsuit filed by the American Small Business League (ASBL). The ASBL filed the lawsuit after the DOE refused to release information regarding a $3.6 billion federal contract awarded to Bechtel Bettis Inc. The socio-economic status indicated "small business" on hundreds of millions of dollars in awards under the prime contract. (http://www.asbl.com/documents/litigation/Case_10.pdf)
The ASBL requested the information as part of an ongoing investigation into the diversion of federal small business contracts to Fortune 500 firms.
Since 2003, more than a dozen federal investigations have uncovered the diversion of billions of dollars a month in federal small business contracts to Fortune 500 corporations. In Report 5-15, the Small Business Administration (SBA) Office of Inspector General described the problem as, "One of the most important challenges facing the Small Business Administration and the entire Federal government today." (http://www.asbl.com/documents/05-15.pdf)
The DOE refused to release the names of Bechtel officials overseeing the contract. Specifically, DOE withheld the name of Kimon Andreos, Manager, Procurement and Materials Management, and Lisa Smith, Small Business Program Manager. The contract was awarded by DOE Contract Specialist Anthony DeNapoli.
Section 16(D) of the Small Business Act which states, "whoever misrepresents the status of any concern or person as a 'small business concern'...to obtain for oneself or another," any prime contract or subcontract with the government shall be subject to penalties of $500,000, 10 years in prison and/or debarment from federal contracting programs. (http://www.sba.gov/regulations/sbaact/sbaact.html)
The ASBL intends to uncover more evidence of contracting abuses in small business programs at NASA, the DOE and the U.S. Department of Defense (DoD). The organization has launched a campaign to review all of the DOE contracts awarded to Bechtel and all of the DOE contracts that have been awarded by Mr. DeNapoli.
"We will continue to use the Freedom of Information Act to prove that the diversion of federal small business contracts to Fortune 500 firms is not miscoding, computer glitches, or honest mistakes as the government has claimed. It is clearly premeditated and deliberate," ASBL President Lloyd Chapman said. "We will prove that the Obama Administration is diverting billions of dollars a month in federal small business funds to Fortune 500 firms. We'll prove that the DOE, NASA and the Pentagon are cheating American small businesses out of billions of dollars a month in federal contracts."
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Contact:
Christopher Gunn
Communications Director
American Small Business League
cgunn@asbl.com
(707) 789-9575
Friday, May 21, 2010
Wednesday, May 19, 2010
Navy Sued For Refusing to Release ManTech Contracting Data
FOR IMMEDIATE RELEASE
May 19, 2010
Petaluma, Calif. – On Tuesday, May 18, the American Small Business League (ASBL) filed suit against the Navy in Federal District Court, Northern District of California. The case was filed under the Freedom of Information Act (FOIA) after the Navy refused to release quarterly sub-contracting reports for contracts awarded to ManTech Systems Engineering. (http://www.asbl.com/documents/litigation/Case_12.pdf)
This is the 5th lawsuit filed by the ASBL under FOIA since the beginning of April, and the organization's 12 lawsuit against the government since 2004. Through its legal efforts, the ASBL has forced the release of thousands of pages of documents proving that large corporations have received billions of dollars a year in federal small business contracts.
Since 2003, more than a dozen federal investigations have uncovered billions of dollars a month in federal small business contracts actually flowing into the hands of Fortune 500 corporations and even some of the largest firms in Europe. Report 5-15, from the Small Business Administration Office of Inspector General described this issue as, "One of the most important challenges facing the Small Business Administration and the entire Federal government today." (http://www.asbl.com/documents/05-15.pdf)
The Small Business Act requires that a minimum of 23 percent of the total value of all government contracts go to small businesses. The Obama administration has failed to meet that goal. The most recent information available indicates that the administration is diverting federal small business contracts to Fortune 500 firms like: Lockheed Martin, Boeing, Raytheon, Northrop Grumman, Dell Computer, British Aerospace (BAE), Rolls-Royce, French giant Thales Communications, Ssangyong Corporation headquartered in South Korea, and the Italian firm Finmeccanica SpA. (http://www.asbl.com/documents/20090825TopSmallBusinessContractors2008.pdf)
The ASBL plans to file a series of federal lawsuits against the Obama Administration for refusing to release documents under FOIA. The ASBL maintains that despite claims of increased transparency, the Obama Administration is refusing to release a wide range of data on small business contracting programs such as: prime contractor compliance with small business subcontracting goals, the actual names of the recipients of federal small business contracts, and the specific names of federal contracting officials that have awarded small business contracts to Fortune 500 firms.
"The information that the Obama Administration is refusing to release shows that they are diverting federal small business contracts to Fortune 500 firms. The fact that they are willing to go to federal court to withhold the data clearly shows that they have something damaging to hide. We will win like we always do," ASBL President Lloyd Chapman said.
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Contact:
Christopher Gunn
Communications Director
American Small Business League
cgunn@asbl.com
(707) 789-9575
May 19, 2010
Petaluma, Calif. – On Tuesday, May 18, the American Small Business League (ASBL) filed suit against the Navy in Federal District Court, Northern District of California. The case was filed under the Freedom of Information Act (FOIA) after the Navy refused to release quarterly sub-contracting reports for contracts awarded to ManTech Systems Engineering. (http://www.asbl.com/documents/litigation/Case_12.pdf)
This is the 5th lawsuit filed by the ASBL under FOIA since the beginning of April, and the organization's 12 lawsuit against the government since 2004. Through its legal efforts, the ASBL has forced the release of thousands of pages of documents proving that large corporations have received billions of dollars a year in federal small business contracts.
Since 2003, more than a dozen federal investigations have uncovered billions of dollars a month in federal small business contracts actually flowing into the hands of Fortune 500 corporations and even some of the largest firms in Europe. Report 5-15, from the Small Business Administration Office of Inspector General described this issue as, "One of the most important challenges facing the Small Business Administration and the entire Federal government today." (http://www.asbl.com/documents/05-15.pdf)
The Small Business Act requires that a minimum of 23 percent of the total value of all government contracts go to small businesses. The Obama administration has failed to meet that goal. The most recent information available indicates that the administration is diverting federal small business contracts to Fortune 500 firms like: Lockheed Martin, Boeing, Raytheon, Northrop Grumman, Dell Computer, British Aerospace (BAE), Rolls-Royce, French giant Thales Communications, Ssangyong Corporation headquartered in South Korea, and the Italian firm Finmeccanica SpA. (http://www.asbl.com/documents/20090825TopSmallBusinessContractors2008.pdf)
The ASBL plans to file a series of federal lawsuits against the Obama Administration for refusing to release documents under FOIA. The ASBL maintains that despite claims of increased transparency, the Obama Administration is refusing to release a wide range of data on small business contracting programs such as: prime contractor compliance with small business subcontracting goals, the actual names of the recipients of federal small business contracts, and the specific names of federal contracting officials that have awarded small business contracts to Fortune 500 firms.
"The information that the Obama Administration is refusing to release shows that they are diverting federal small business contracts to Fortune 500 firms. The fact that they are willing to go to federal court to withhold the data clearly shows that they have something damaging to hide. We will win like we always do," ASBL President Lloyd Chapman said.
-###-
Contact:
Christopher Gunn
Communications Director
American Small Business League
cgunn@asbl.com
(707) 789-9575
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