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PUBLIC LAW 100-656—NOV. 15, 1988
102 STAT. 3863
"(iii) a demonstrated pattern of failing to make required submissions or responses to the Administration in a timely manner; "(iv) the willful violation of any rule or regulation of the Administration pertaining to material issues; "(v) the debarment of the concern or its disadvantaged owners by any agency pursuant to subpart 9.4 of title 48, Code of Federal Regulations (or any successor regulation); or "(vi) the conviction of the disadvantaged owner or an officer of the concern for any offense indicating a lack of business integrity including any conviction for embezzlement, theft, forgery, bribery, falsification or violation of section 16. For purposes of this clause, no termination action shall be taken with respect to a disadvantaged owner solely because of the conviction of an officer of the concern (who is other than a disadvantaged owner) unless such owner conspired with, abetted, or otherwise knowingly acquiesced in the activity or omission that was the basis of such officer's conviction. "(G) The Director of the Division may initiate a termination proceeding by recommending such action to the Associate Administrator for Minority Small Business and Capital Ownership Development. Whenever the Associate Administrator, or a designee of such officer, determines such termination is appropriate, within 15 days after making such a determination the Program Participant shall be provided a written notice of intent to terminate, specifying the reasons for such action. No Program Participant shall be terminated from the Program pursuant to subparagraph (F) without first being afforded an opportunity for a hearing in accordance with section 8(a)(9). "(H) For the purposes of sections 7(j) and 8(a) the term 'graduated' or 'graduation' means that the Program Participant is recognized as successfully completing the program by substantially achieving the targets, objectives, and goals contained in the concern's business plan thereby demonstrating its ability to compete in the marketplace without assistance under this section or section 8(a).".
Fraud. Law enforcement and crime.
SEC. 209. ECONOMIC DISADVANTAGE
(a) ECONOMIC DISADVANTAGE.—Section 8(a)(6) of the Small Business Act (15 U.S.C. 637(a)(6)) is amended— (1) by striking out "(6)" and inserting in lieu thereof "(6)(A)", and (2) by adding at the end the following new subparagraphs: "(B) Each Program Participant shall annually submit to the Administration— "(i) a personal financial statement for each disadvantaged owner; "(ii) a record of all payments made by the Program Partici- Records. pant to each of its disadvantaged owners or to any person or entity affiliated with such owners; and "(iii) such other information as the Administration may deem necessary to make the determinations required by this paragraph. "(C)(i) Whenever, on the basis of information provided by a Program Participant pursuant to subparagraph (B) or otherwise, the
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