The Federal Debarment Policy for government contractors require that businesses or subcontractors that are suspended or debarred will not be allowed will not use funds from federal grants, fellowship, cooperative agreements, scholarships, bid on federal contracts or even apply for loans to purchase goods and services.
In short, federal debarment policy for government contractors from vendors who have been debarred or suspended from doing business with the federal government could face even more serious consequences if caught using alternative measures to get federal bids.
Federal Debarred Supplier Policy
The Federal Acquisition Regulation requires that contractors obtain written certification from suppliers receiving a purchase order at or exceeding the simplified acquisition threshold that they have not been subject to debarment or suspension.
- If a government contractor knowingly does business with debarred supplier, it will face serious consequences.
- False claims and submitting questionable invoices can trigger debarment.
What are Causes for Federal Debarment?
As a government contractor and supplier, you can be subject to federal debarment policy for government contractors and laws when you engage in serious criminal offenses such as embezzlement, theft, forgery, bribery and other offenses indicating a lack of business integrity.
Contractor ethics plays a leading role in whether federal debarment officials make a final determination that prevents you from doing business with the government.
Federal debarment policy for government contractors requires you to perform your due diligence and verify the status of proposed suppliers. The List of contractors and individual that are excluded from Federal Procurement or Non-procurement Programs, can be found on The System for Award Management (SAM).
Avoid Tactics to Get Around Federal Debarment Policy
Owners of debarred businesses may sometimes try to form another business entity and then start the process all over again. This could land them in a criminal fraud case where consequences can even include jail time.
The federal debarment policy is structured to exclude companies or individuals suspected of engaging in serious ethics and questionable conduct to face federal debarment.
If you are faced with either suspension and debarment actions from the federal government, your personal and company’s future are at risk.
Learn about the various possibilities of overcoming harsh federal debarment policy results for government contractors.
Call our Washington D.C. suspension and debarment lawyers at 1-866-601-5518. FREE CONFIDENTIAL CONSULTATION.