Audit Report 09-12: Review of SBA's National Guaranty Purchase Center Furniture Contract
… spent the advance funds to meet its payroll. As a result, the subcontractor repossessed the furniture causing … the SBA also violated Federal regulations by advancing a $226,678 payment to the prime contractor prior to the … totaling $78,856 that were unrelated to the contract. As a result, the SBA executed over $300,000 in improper payments …