The Megyn Kelly Show

SBA Fraud Probed, RFK Jr and Hegseth Targeted for Impeachment, In-N-Out Bans “6-7”: AM Update 12/11

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Dec 11, 2025
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INSIGHT

8(a) Program Under Federal Scrutiny

  • The SBA 8(a) program meant to help disadvantaged firms is now under multiple federal probes for systemic fraud and abuse.
  • Investigations and audits argue billions meant for minorities have flowed to insiders using pass-through subcontracting to evade rules.
ANECDOTE

Undercover Video Reveals Pass-Throughs

  • An undercover James O'Keefe video captured an 8(a) contracts director describing how firms win set-aside contracts then subcontract most of the work.
  • The director admitted their company did only about 20% of the work while passing off the rest, prompting an SBA probe.
INSIGHT

Congressional And Treasury Response

  • The Treasury and a Senate committee widened reviews after O'Keefe's reporting, with Senator Joni Ernst asking agencies to pause and audit 8(a) awards.
  • SBA asked all 4,300 firms for three years of financial records and Ernst proposed halting awards until audits finish.
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