SAN FRANCISCO, CA, April 26, 2006 /PRNewswire/ -- Lloyd Chapman, President of the American Small Business League, released this statement regarding Hector Barreto's resignation today as head of the Small Business Administration:

"Barreto's resignation comes as no surprise–I've been waiting for this to happen. Inc Magazine recently dubbed him "The Big Disappointment," and I couldn't agree more. It was obvious to me by his demeanor in Congressional hearings and his flippant disregard for the truth that he did not intend to stay for long.

"During Barreto's tenure, there have been eleven Federal investigations that have documented fraud, abuse, loopholes, and a dramatic lack of oversight in small business contracting programs, yet he has done nothing to stop it. Instead, Barreto has consistently covered it up and denied it. Under his leadership, the SBA aggressively fought the release of an internal report that found billions of dollars in awards to corporate giants were reported as small business contracts.

"I believe that when Barreto was given his job as Administrator, he was told to wind down the agency, and that's exactly what he has done.

"I'm concerned that the next move by the Bush Administration will be a veiled attempt to further degenerate contracting programs for small businesses, women, minorities, and disabled veteran-owned firms. I expect President Bush to propose new policies under the guise of being good for America's small firms that will continue to divert billions in small business contracts to some of the largest companies in the world.

"If Bush proposes that the SBA be combined with another agency, this will be the beginning of the end for Federal small business programs. If there is any attempt to do this, I believe I can stop it in Federal court."

About the ASBL
The American Small Business League was formed to promote and advocate policies that provide the greatest opportunity for small businesses - the 98% of U.S. companies with less than 100 employees. 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. Representing small businesses in all fields and industries throughout the United States, the ASBL monitors existing policies and proposed policy changes by the Small Business Administration and other federal agencies that affect its members.

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