HR 7401 · Passed House · 07-13-26
Small Business Lending Fraud Prevention Act
What does the Small Business Lending Fraud Prevention Act do?
HR 7401 is a House bill sponsored by Rep. Daniel Meuser (R-PA). Requires Small Business Administration employees who help originate, review, or approve SBA loans to first certify in writing that they have no prohibited conflict of interest in the loan. Employees must also recuse themselves if a conflict comes up later.
Did HR 7401 pass? Where it stands
As of July 17, 2026, HR 7401 has passed the House.
Status: Passed House
Latest vote: House Passed 415–0 on June 24, 2026
Outlook: Possible
Key provisions
- Conflict-of-Interest Certification
- SBA employees must certify no prohibited conflict before participating in a loan
- Requirement begins 270 days after enactment
- Employees must disclose later-discovered conflicts and recuse themselves
Last updated July 15, 2026