Unraveling the Spring 2016 Congress Report by The SBA Office of Inspector General

Ready to go arm-in-arm through the twists and turns of the Small Business Administration’s (SBA) Spring 2016 Congress Report? (1) As your legal guide, I, Lawscape, am here to help you decipher this mind-boggler.

An Overview of the Spring 2016 Report

The Inspector General Act of 1978 mandates that the SBA office of Inspector General (OIG) monitors the integrity, accountability, and performance of the agency for all Americans. This watchdog role, however, comes with a mixed bag of wrongdoings like fraudulent schemes, loan defaults, procurement issues, excessive improper payments, and outdated legacy info systems. Phew! Desperate times indeed for those who pour their heart and soul into their tiny businesses!

The Purpose

No alarms and surprises here – the SBA OIG’s sole purpose is to keep everything on the up and up. This Spring 2016 Semiannual Report they whipped up was to keep Congress (and you) in the loop from October 1, 2015, to March 31, 2016.

The Report Contents

From financial assistance to disaster backing, the report zooms in on some critical areas causing a ruckus. Give yourself a pat on the back, as we’ve made it through 12 reports with 49 recommendations to buff up the integrity of SBA operations! Congrats are also in order for uncovering 18 indictments, 24 convictions and recovering a whopping $106.7 million.

(2) Okay, enough celebrations, back to brass tacks. There have been 36 suspension referrals and 2 inter-agency ones too—a busy season indeed for the SBA OIG. (3)

A Few Significant Cases

We’ve seen high profile cases during this period, such as a Georgia bank honcho getting handed a 7-year prison sentence, not to mention a restitution order for nearly $4 million! And, we’ve also had two 7(a) lenders coughing up a combined total of approximately $2.3 million for not playing by the SBA’s rules of loan origination and closing.

OIG’s Hot-Plate for Whistleblowers

The OIG’s been all ears for waste, fraud, abuse, or serious mismanagement complaints from the business community. They received a robust 641 complaints during this rollercoaster of a reporting period! Allegations are carefully screened, inter-division consultations are held and further action may be taken, such as corrective action or further audits, investigations, and so on.

End of Report Notes

The SBA’s Spring 2016 Report wraps up with guidance for businesses facing SBA loan defaults and suggestions to hire expertise like us, the Lawscape, to assist with SBA and Treasury-related debt woes. If you’re in a jiffy, do get in touch at 212-460-5004 for a contented mind, shall I say?

Why join forces with us? We’ve got the experience to boot — millions of dollars in SBA debts straightened out via offer in compromise and negotiated repayment agreements, Treasury debts defended, and a formidable nationwide representation for federal debtors before the SBA, The SBA Office of Hearings and Appeals, the Treasury Department, and the Bureau of Fiscal Service. (4)

So now that you’re all clued up, do take a gander at the full report (1). And remember, the Lawscape’s always here to help sail your ship through these turbulent waters.