The Real GSA Scandal: Playing Politics With Big Business

GSA VP Jeffrey Neely enjoying himself at the taxpayers' expense.

GSA VP Jeffrey Neely enjoying himself at the taxpayers' expense.

Elliott Rosenfeld writes in the Washington Post:

As more details about wasteful spending and outright fraudulent practices at the General Services Administration are emerging, it becomes clearer every day that there is a far deeper, government-wide contracting problem plaguing the nation.

News of the scandal broke two weeks ago, when GSA Administrator Martha Johnson resigned following the agency inspector general’s report claiming that more than $800,000 of federal spending on a GSA employee conference held in Las Vegas in 2010 was “excessive, wasteful, and in some cases, impermissible.”

Of particular concern to small-business advocates, the IG’s report found that the GSA allegedly awarded “a $58,000 contract to a large business in violation of small-business set-asides.”

This problem of large companies receiving federal contracts that are reserved by law for small businesses is a decades-old scandal of corrupt federal spending and undue corporate influence over politics. Overall, waste, fraud and abuse in federal small-business contracting programs (across all federal agencies) results in tens of billions of taxpayer dollars a year being illegally diverted to large companies, often some of the largest companies in the world.

Read More: Washington Post

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  • The Jig Is Up

    if only there were a political philosophy based on small government and strict separation between government and business…

    • Mamagriff50

      I seem to recall reading about that in grade school years ago……….LOL

    • rtb61

       Well there is an easy fix. You limit the size of big business ie to big to be a ‘limited liability’ company, gut Wall Street in order to rebuild Main Street.

  • Mamagriff50

    This is all fine and good but………It will come to naught. The corporations are the government. Nothing will change. “Further studies will be needed (10 years or so worth) a little to late then……………

  • http://buzzcoastin.posterous.com BuzzCoastin

    OK this is bad but,
    what about Rumsfeld losing a couple of trillion bucks?
    Or the $7.8 trillion given to the Banksters?
    Or how about Bunnatine Greenhouse revelation about $1.8 billion in illegal payments to Halliburton?

    It’s not that this is insignificant
    but it’s not going to be fixed or even punished
    it will fade just like the aforementioned
    but at least I typed about it
    so I feel better now.

  • TakesOneToKnowOne

    What kind of bugger takes a photo in the bath like this? Oh, an American working for their government.

  • http://twitter.com/mattstaggs Matt Staggs

    Hello, Caligula!

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