PETALUMA – The Pentagon has filed an appeal in the 9thCircuit Court of Appeals in the Freedom of Information case against itregarding the Comprehensive Subcontracting Plan Test Program (CSPTP).

The lawsuit was initially filed by the American SmallBusiness League (ASBL) and won in 2014, seeking the subcontracting plansubmitted by Sikorsky Aviation Corp. for the CSPTP. ASBL claims the Pentagongives preference to large contractors through its CSPTP.

"Our goal is to force the Pentagon to release the reportsthat have been submitted to the CSPTP," Lloyd Chapman, president and founder ofASBL told the Northern California Record. "We believe these reports willprove the Pentagon has allowed their largest prime contractors to cheat smallbusinesses out of hundreds of billions in federal subcontracts since theprogram began in 1989. In doing so we hope we can convince Congress to abolishthe program. The fact the Pentagon has refused to release even a single page ofdata on the program for over 25 years is clear evidence they are trying to hidethe fraud and corruption we believe the program has allowed."

In their appeals, the Pentagon and Sikorsky are fightingthe motion to release names, phone numbers and email addresses of the employeesof Sikorsky that are contained in the subcontracting plan, maintaining theinformation is proprietary and confidential. Federal District Court JudgeWilliam Alsup had ruled that the information bereleased.

"If we can dismantle the CSPTP, the Pentagon and itsprime contractors will finally be forced to comply with federal law andlegitimate small businesses will begin to receive billions in federalsubcontracts as the law requires," said Chapman. "It is hard to estimate, but Iwould estimate small businesses could see an increase of up to $100 billion ayear in subcontract. That number may sound large, but federal law requires a 37percent small business subcontracting goal and Lockheed Martin alone receivedaround $100 billion in federal prime contracts last year. That could be up to$37 billion in subcontracts just from Lockheed and there are about 15 of thePentagon's largest prime contractors participating in the CSPTP."

The ASBL is asking for more transparency from the Pentagon,which it believes the CSPTP is designed to prevent.

"More transparency means less fraud and more compliancewith the law," said Chapman. "Why do you think the Pentagon wants notransparency on small business subcontracting? They want to be able to violatethe law and not be held accountable for it."

ASBL expects a strong outcome from the suit as itbelieves the program is cheating small business out of contracts with federalgovernment.

"Iexpect we will win, the Pentagon will be forced to release all the reportsgoing back several years and it will prove the Pentagon and many of its largestprime contractors have committed fraud in the reporting of federal smallbusiness subcontracting data," said Chapman. "I suspect the data will prompt acongressional hearing and possibly a criminal investigation."

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