# State Finance and Procurement (GSF)

## Title 14. Preferences

### Subtitle 3. Minority Business Participation

#### Section 14-308

(a)

  (1) A person may not:

    (i) fraudulently obtain, hold, or attempt to obtain or hold certification;

    (ii) aid another person in performing an act prohibited under item (i) of this paragraph;

    (iii) willfully obstruct, impede, or attempt to obstruct or impede a State official or employee investigating the qualifications of a business entity that has requested certification;

    (iv) fraudulently obtain, attempt to obtain, or aid another person in fraudulently obtaining or attempting to obtain, public money to which the person is not entitled under this subtitle; or

    (v) in any minority business enterprise matter administered under this subtitle:

      (1) willfully falsify, conceal, or cover up a material fact by any scheme or device;

      (2) make a false or fraudulent statement or representation; or

      (3) use a false writing or document that the person knows to contain a false or fraudulent statement or entry.

  (2) Except as otherwise provided by law, a contractor may not identify a certified minority business enterprise in a bid or proposal and:

    (i) fail to request, receive, or otherwise obtain authorization from the certified minority business enterprise to identify the certified minority business enterprise in its bid or proposal;

    (ii) fail to notify the certified minority business enterprise before execution of the contract of its inclusion of the bid or proposal;

    (iii) fail to use the certified minority business enterprise in the performance of the contract; or

    (iv) pay the certified minority business enterprise solely for the use of its name in the bid or proposal.

  (3) A person who violates any provision of this subsection is guilty of a felony and on conviction is subject to a fine not exceeding $20,000 or imprisonment not exceeding 5 years or both.

(b)

  (1) A person may not make a false statement about whether an entity has certification.

  (2) A person who violates this subsection is guilty of a misdemeanor and on conviction is subject to a fine not exceeding $2,500 or imprisonment not exceeding 1 year or both.

(c) The Office of Small, Minority, and Women Business Affairs shall make available a fraud hotline for reporting violations of this section.

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Md. Code Ann., State Fin. & Proc. (as displayed at mgaleg.maryland.gov, October 16, 2026)