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Out of Reach

Some say that the SBA is withholding contracts--and important information.

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This story appears in the February 2005 issue of Entrepreneur. Subscribe »

Small- groups are taking aim at the for failing to ensure procurement opportunities. Two lawsuits were filed late last year arguing that the SBA has refused to implement a congressionally dictated women's procurement set-aside program and to release an internal study showing widespread fraud in procurement programs.

The U.S. Women's Chamber of Commerce filed a complaint in the U.S. District Court to force the SBA to implement the Women's Procurement Program. It was included in the SBA's 2000 reauthorization passed by and told the SBA to set aside contracts for businesses in industries underrepresented by women-owned businesses. "We have heard from thousands of members that their ability to gain access to contracts has been harmed by the delay in implementing this mandate," says Margot Dorfman, CEO for the Women's Chamber.

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