Justice Department lawyers have weighed in on a controversial lawsuit over alleged government-contracting fraud and come down in favor of the SBA.

The American Small Business League (ABSL) filed suit under the federal Freedom of Information Act (FOIA) to compel the SBA to release the name of a company that had misrepresented its size to win small business contracts.

Yesterday, the Justice Department responded on behalf of the SBA and said it would not provide the name. Citing a FOIA exemption, U.S. Attorney Kevin V. Ryan said the government has the right to withhold the name because of a continuing criminal investigation.

ABSL President Lloyd Chapman was skeptical about the government's claim. "I don't think the government has any plans to prosecute the firm," he said.