A bombshell undercover investigation has ripped away the curtain on a systemic, multi-billion dollar fraud being perpetrated against the American taxpayer, a scandal enabled by a federal contracting system that prioritizes racial preferences over merit, integrity, and fiscal responsibility. The O’Keefe Media Group (OMG) has exposed a brazen scheme within the Small Business Administration’s 8(a) program, revealing how so-called “disadvantaged” businesses are acting as nothing more than fraudulent pass-throughs, siphoning off vast sums of public money while doing little to none of the work. This is the direct result of a Biden Administration policy that has pushed a radical equity agenda, leading to a record-breaking $183 billion in federal contracts awarded under a broken and easily exploited system.
In a stunning hidden-camera video, Melayne Cromwell, a Contract Manager for ATI Government Solutions, casually detailed the entire corrupt operation. She proudly explained how her company leverages its designation as a “Native American-owned” business to secure no-bid contracts, explicitly stating, “Because we’re Native American-owned, we’re heavily favored for government contracts.” She emphasized the unfair advantage, noting, “There’s no bidding war.” This admission confirms the worst suspicions about how these diversity quotas are manipulated, creating an unlevel playing field where connected insiders game the system while honest businesses are shut out.
The core of the illegal scheme is the “pass-through,” where a front company like ATI secures a contract due to its privileged status and then immediately subcontracts the vast majority of the work. Cromwell was shockingly candid about this, telling the undercover journalists, “So, a lot of our subcontractors bid on contracts that were perfect in their industry, but because they weren’t Native American, they wouldn’t win it. So we bid on it for them, they become our sub, and it’s an automatic win because you’re Native American status.” She even boasted, “I tell you pass-throughs are a great thing!” When pressed on how much work ATI actually performs, she revealed, “We do about 20% of the work.” This means that for over $100 million in contracts, American taxpayers are paying a massive premium to a middleman that contributes almost nothing.
The deception runs even deeper. While ATI is presented as a tribally-owned enterprise, Cromwell admitted that the ownership is a paper façade, saying the tribal entity needs “51% On paper. Correct. as long as it’s on paper. That you’re 51%, you’re good to go.” She revealed that the company was actually founded and is run by two Caucasian executives, Firmadge Crutchfeld and Scott Deutschman, exposing the entire minority-owned designation as a cynical charade designed to exploit a government program. This is not empowerment; it is a sophisticated racket that defrauds the Treasury and violates the very spirit of the law.
$100 Billion Federal Contracting Scam Exposed: 8(a) Firm Admits to Violating Federal Law, Using Minority-Owned Status as a Front to Obtain $100M+ No-Bid Government Contracts While Outsourcing 80% of the Work.
ATI Government Solutions Contract Manager, Melayne Cromwell Admits to… pic.twitter.com/Jxvkb2vNOA
— O’Keefe Media Group (@OKeefeMedia) October 20, 2025
The liberal media, which routinely cheers on such diversity-based contracting initiatives, has been conspicuously silent on this massive expose. Their refusal to investigate or report on this systemic corruption reveals a deep-seated hypocrisy, where the narrative of equity is more important than the reality of waste, fraud, and abuse. This is the kind of swamp corruption that President Donald J. Trump has consistently fought against. His administration championed merit-based systems and America-first policies, seeking to drain the swamp of such self-dealing schemes. This investigation proves yet again that the system is rigged against the taxpayer and that strong, vigilant leadership is required to root out this deeply embedded corruption.