New Lender Oversight Regulations Boost SBA Enforcement Authority


The Small Business Administration issued an interim final rule for new lender oversight regulations in its guaranteed loan program. The regulations, which went into effect Jan. 12, give the agency greater enforcement authority and increase transparency on how risk is evaluated. The new regulations clarify supervision and enforcement actions for all SBA lenders and partners including banks, small business lending companies, certified development companies, microloan intermediaries, and the SBA’s National Technical Assistance Providers network.

The SBA first published the new lender oversight rules in October 2007. The rules as issued reflect revisions that considered the more than 300 public comments received since the initial publication.

“Given the difficult economy, SBA must do whatever it can to protect small businesses and the nation’s taxpayers from unnecessary risk,” said SBA Acting Administrator Sandy Baruah in a news release. “With improved oversight, SBA is taking action to reduce the potential for waste, fraud, and abuse in its loan programs.”

The final interim rules are available at the Federal Register online at www.gpoaccess.gov/fr.

SPONSORED REPORT

Questions to ask before committing to the cloud

Cloud computing has its pros and cons. In this report, we answer common questions CPAs may have as they consider transitioning partially or fully to the cloud.

QUIZ

News quiz: IRS reopens an online service, but criticism endures

The IRS brings back the Get Transcript Online service, but the agency faces criticism for its handling of the aftermath of the event that led to the shutdown of the service. See how much you know about other recent news with this quiz.

CHECKLIST

Auditing risks in culture

Cultural flaws can seriously damage an organization. Here’s how internal auditors can reduce risks by embedding culture audits into existing audit programs.