SBA Fraud Enforcement Extension Act

The SBA and DOJ have already identified and are prosecuting numerous fraud cases involving both grant programs. Extending the statute of limitations allows ongoing investigations to proceed even if they approach the 5-year mark, and allows law enforcement to pursue newer leads discovered years after the grant was awarded. This mirrors the False Claims Act's standard 6-year window and is consistent with how federal agencies handle complex fraud (e.g., healthcare fraud, which often uses a 10-year standard under the Anti-Kickback Statute). Without the extension, prosecutions filed after 5 years from the violation date would be time-barred. The SBA OIG has reported thousands of potentially fraudulent grants in both programs; this extension ensures those cases remain prosecutable throughout the investigation timeline.