The Small Business Administration (SBA) has opened an investigation into ATI Government Solutions and its majority owner, the Susanville Indian Rancheria, after suspending them from new federal business on October 21, 2025. The suspension also applies to three of the company’s executives.
Allegations of fraud in the 8(a) program
The investigation, announced by SBA Administrator Kelly Loeffler, follows the exposure of alleged fraud within the 8(a) Business Development Program. ATI Government Solutions is an 8(a) firm, which is a federal contracting program intended for small disadvantaged businesses. The specific allegations against ATI involve fraudulent “pass-through” schemes, where the company allegedly used its minority-owned status to secure over $100 million in no-bid government contracts and then illegally outsourced most of the work to other companies.
Details of the case
- An undercover video released by O’Keefe Media Group reportedly captured an ATI contract manager, Melayne Cromwell, admitting to the scheme. Cromwell was allegedly recorded saying, “pass throughs are a great thing!” and that ATI performed only 20% of the work while the rest went to subcontractors.
- The video also claims that the company exploits the “super 8(a) status” afforded to tribally owned businesses, which allows them to receive sole-source contracts of any value.
- The Department of Justice is involved in the matter.
- The Susanville Indian Rancheria launched ATI Government Solutions in 2019 to provide financial opportunities for the tribe through federal contracting
- ATI Government Solutions, https://atisolutions.us/
Susanville Indian Rancheria issued the following statement –
