WHAT THE LAW DOINCongress, in plain words

H.R. 7401 · 119th Congress

Small Business Lending Fraud Prevention Act

Passed HouseCommerce
IntroducedFeb 5, 2026
Passed HouseJun 24, 2026
Passed SenateNot yet
To PresidentNot yet
Became lawNot yet

Where it stands

Passed House. Latest step, Jul 13, 2026: Received in the Senate and Read twice and referred to the Committee on Small Business and Entrepreneurship. The House passed it 415–0. It would change 0 sections of existing law and would add 1 new provisions of its own.

How this bill changes the law

Sourced

H.R. 7401 doesn't change any existing section of law. It would create 1 new provision of its own. Read from the bill text as sent to the Senate (Jul 13, 2026).

New provisions of the bill's own

  • Sec. 2 Small Business Administration employee conflict of interest certification
What the words would change: every change, in place (0)

Today's wording of each part of the law, with what would be struck out and added. Each change also gives the bill's own instruction, word for word.

    From the bill's official text on GovInfo and the U.S. Code, latest edition, which may not yet show changes made since.

    What it does

    Sourced

    Small Business Lending Fraud Prevention Act

    This bill requires Small Business Administration (SBA) employees who participate in the origination, review, or approval of SBA loans to certify in writing prior to such participation that the employee

    • does not have any conflict of interest with respect to the loan,

    • will disclose any such conflict of interest arising after the certification is made, and

    • understands the requirements with respect to conflicts of interest applicable SBA employees.

    Under current law, federal employees must disclose financial conflicts of interest with respect to a particular matter and recuse themselves from such matter (with limited exceptions upon authorization from the employee's agency designee).

    The SBA must issue regulations implementing the requirements of this bill.

    Official summary by the Congressional Research Service (Reported to House, Feb 20, 2026).

    Our plain-language breakdown, with what it means for you and the case for and against, is written once a bill starts to move.

    What has happened

    Sourced
    1. Jun 24, 2026Passed/agreed to in House: On motion to suspend the rules and pass the bill Agreed to by the Yeas and Nays: (2/3 required): 415 - 0, 1 Present (Roll no. 225). Roll call recordLibrary of Congress
    2. Feb 20, 2026Reported by the Committee on Small Business. H. Rept. 119-500.Library of Congress
    3. Feb 5, 2026Introduced in HouseLibrary of Congress

    Show all 17 recorded actions

    Recorded votes

    Sourced
    1. Jun 24, 2026 · HousePassed 415–0
      On Motion to Suspend the Rules and Pass · needed two-thirds
      R 209 yes, 0 noI 1 yes, 0 noD 205 yes, 0 noEach member · Record

    Cosponsors

    • Maggie Goodlander D-NH-2