119 HR 7401 EH: Small Business Lending Fraud Prevention Act U.S. House of Representatives text/xml EN Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain.

IB 119th CONGRESS2d Session H. R. 7401 IN THE HOUSE OF REPRESENTATIVES AN ACT To require employees of the Small Business Administration to certify that the employee does not have any prohibited conflicts of interest with respect to loans in which the employee is involved, and for other purposes.

1.

Short title

This Act may be cited as the Small Business Lending Fraud Prevention Act.

2.

Small Business Administration employee conflict of interest certification

(a)

In general

Beginning on the date that is 270 days after the date of the enactment of this Act, an employee of the Administration that will personally and substantially participate in the origination, review, or approval of a loan administered by the Administration shall, prior to such participation in such loan, certify to the Administrator in writing that such employee— (1)to their knowledge, does not have any conflict of interest prohibited under section 208 of title 18, United States Code, or section 2635.502 of title 5, Code of Federal Regulations, with respect to such participation in such loan; (2)upon learning of any such conflict of interest after submitting such certification, will immediately disclose such conflict of interest to the supervisor of such employee and recuse themselves from participating in such loan; and (3)understands the requirements applicable to such employee under Federal law and regulations of the Administration regarding conflicts of interest with respect to such participation in such loan. (b)

Regulations

Not later than 180 days after the date of enactment, the Administrator shall issue regulations implementing this Act. (c)

Definitions

In this Act: (1)

Administration

The term Administration means the Small Business Administration. (2)

Administrator

The term Administrator means the Administrator of the Administration.

Passed the House of Representatives June 24, 2026.Kevin F. McCumber,Clerk.