DOD recently announced it will audit registered contractors that are Service-Disabled Veteran-Owned Small Businesses (SDVOSB) for set-aside and sole-source contracts.

The audit comes six years after IG concluded DOD lacked adequate controls to ensure the integrity of the SDVOSB set-aside program. The decision to finally audit the program suggests issues related to eligibility of SDVOSB companies will be a greater point of emphasis for enforcement proceedings.

Companies found ineligible through the audit process may not merely get their hand slapped. An adverse decision could result in a suspension of work, contract termination, disbarment or even legal action under the False Claims Act.

SOURCE – READ THE FULL ARTICLE AT: https://www.disabledveterans.org/2018/10/29/dod-to-audit-service-disabled-veteran-owned-small-businesses-due-to-sba-changes/