Pentagon Facing New Challenge to 25-Year Old "Sham" Test Program

Press Release

Pentagon Facing New Challenge to 25-Year Old "Sham" Test Program

ASBL Challenges Sham Pentagon Test Program

By Lloyd Chapman
American Small Business League
April 22, 2015

PETALUMA, Calif., April 22, 2015/PRNewswire-USNewswire/ -- The Pentagon is facing a new legal challenge totheir refusal to release any data on the controversial ComprehensiveSubcontracting Plan Test Program (CSPTP) that has survived over 25 years. TheAmerican Small Business League (ASBL) has issued another Freedom of InformationAct request for the specific section or page from every plansubmitted to the CSPTP by every Pentagon prime contractor that would indicatethe firm's company-wide small business subcontracting goal since the programbegan in 1989.  

The ASBL believes the Pentagon will have no legal justificationfor withholding the information they have requested. They also expect the datato prove the Pentagon has used the CSPTP to cheat small businesses out ofbillions of dollars in subcontracts since the program began over 25-years ago.

In November of 2014, the ASBL won a case against the Pentagonseeking the latest subcontracting plan submitted to the CSPTP by SikorskyAviation Corporation.

The Pentagon has now appealed that case to the 9th Circuit Court of Appeals. In a November 6, 2014 hearing onthe Sikorsky case Judge Alsup stated, "and here is the United States covering it up." In asubsequent hearing on January 20, he described theASBL as being in a "David and Goliath" battle with "biggovernment" and stated, "They are trying to suppress the evidence."

The Pentagon adopted the CSPTP under the pretense of "increasing subcontracting opportunities for small businesses."In reality the program eliminated all publicly available documents that could beused to verify a prime contractor's compliance with the small businesssubcontracting goals established by the Small Business Act.

The CSPTP also eliminated any and all penalties primecontractors had previously faced, such as "liquidated damages," for failing to comply with theirsmall business subcontracting goals.

The ASBL believes the Pentagon has refused torelease any data on the CSPTP for over 25 years because it would prove thePentagon has fraudulently eliminated subcontracting opportunities forsmall business.

In September of 2014, Professor CharlesTiefer released a legal opinion of the CSPTP that stated "The program isa sham and its extension will be seriously harmful to vitalopportunities for small business to get government contracting work ... Let itexpire."

The Pentagon now has until May 16, 2015to respond to the ASBL's most recent Freedom of Information Act request on theCSPTP and until May 1 to file their appellantopening brief with the 9th Circuit Court of Appeals in the Sikorsky case.

"It's shocking when you realize the Department of Justiceis helping the Pentagon to cover-up evidence of apparent contracting fraud. Theinformation I have requested must be incredibly damaging because it looks likethere is nothing they won't do to suppress the evidence. I'm anticipating aclassic anti-whistleblower campaign from the Department of Justice againstmyself and the ASBL," stated ASBL PresidentLloyd Chapman.

To view full press release, click here: http://www.prnewswire.com/news-releases/pentagon-facing-new-challenge-to-25-year-old-sham-test-program-300069915.html?tc=eml_cleartime

 


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