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FEMA relief rife with abuse, fraud, report says (Katrina Fraud)
MSNBC ^ | 12 JUN 2006 | Chip Reid

Posted on 06/13/2006 4:01:53 PM PDT by Libertarian444

WASHINGTON - As requests for emergency assistance poured in after Hurricane Katrina, one applicant listed as his address the Greenwood Cemetery in New Orleans. FEMA promptly issued a check for $2,358 for rental assistance.

That's just one of thousands of examples of alleged fraud and abuse described in a new report by the investigative arm of congress — abuse that cost taxpayers about $1 billion.

One person applied for aid 13 times, using 13 bogus addresses, and received a total of $139,000.

The report says FEMA didn't even try to verify the identity of people who applied for aid by phone and says FEMA's fraud controls are “weak or nonexistent.”

More than 2,000 people applied for aid from prison and received about $12 million.

The report also finds that FEMA debit cards, which were supposed to be used for necessities, were used for a week-long Caribbean vacation, a $600 tab at a gentleman's club and a visit to Hooters, which included a $200 bottle of champagne.

(Excerpt) Read more at msnbc.msn.com ...


TOPICS: Breaking News; Constitution/Conservatism; Crime/Corruption; News/Current Events
KEYWORDS: abuse; fema; fraud; govwatch; gummintgiveaways; katrina; outofcontrolspending; porkaddicts; sexchange; spendingspree; stopmebeforeispend; taxes; waste
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To: Mo1

Not sure if something like this can be done in cases like a disaster ...



I don't support the fraud but there were many more that didn't abuse the system than did and when you are without a home, food, shelter, etc you need immediate help. I think FEMA knew that there would be abuse and expected a certain percentage but decided the good out weighted the bad. JMO.

The question is is there a better method. Hopefully if there is they've got the system in place for the next go round be it hurricanes, earthquakes, floods or terrorist.


61 posted on 06/14/2006 4:36:19 PM PDT by deport
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To: deport

What I don't understand is why a Katrina victim should be any more deserving of help than some other individual vicitm. What if your house got hit by lightning tonight and burned to the ground? Aren't you just as much in need as someone who got flooded out by Katrina?

Why is it that if there are thousands of victims, we think we should give handouts, but not if it is just one person or one family?

What happened to insurance? Whose fault is it when someone is uninsured? Not the taxpayers'.


62 posted on 06/14/2006 5:20:34 PM PDT by generally (Ask me about FReepers Folding@Home)
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To: Libertarian444

i am listening to the news and the MEDIA IS OUTRAGE
SHAME ON THE MEDIA


63 posted on 06/14/2006 5:29:56 PM PDT by proudCArepublican
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To: kerryusama04

YOU GOT THAT RIGHT WHAT A BUNCH OF CRAP YOU HAD THE RAPPER STATE G.W. DOESN'T LIKE BLACK PEOPLE AND OH MY GOD ANDERSON COOPER AND SHEP SMITH AND GERALDO ALL CRYING AND THIS IS WHAT YOU GET THE BIGGEST CRIME FRAUD OF MY FREAKIN TAX DOLLARS I AM SORRY I KNOW I SOUND HORRIBLE BUT I HAVE NEVER BEEN ON A CRUISE OR TO HAWAII THIS IS AN OUTRAGE BUT IT IS THE SENSE OF ENTITLEMENT OF PEOPLE


64 posted on 06/14/2006 5:33:43 PM PDT by proudCArepublican
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To: All

Look how far we've come


Not Yours To Give
Col. David Crockett, US Representative from Tennessee

One day in the House of Representatives a bill was taken up appropriating money for the benefit of a widow of a distinguished naval officer. Several beautiful speeches had been made in its support. The speaker was just about to put the question when Crockett arose:

"Mr. Speaker--I have as much respect for the memory of the deceased, and as much sympathy for the suffering of the living, if there be, as any man in this House, but we must not permit our respect for the dead or our sympathy for part of the living to lead us into an act of injustice to the balance of the living. I will not go into an argument to prove that Congress has not the power to appropriate this money as an act of charity. Every member on this floor knows it.

We have the right as individuals, to give away as much of our own money as we please in charity; but as members of Congress we have no right to appropriate a dollar of the public money. Some eloquent appeals have been made to us upon the ground that it is a debt due the deceased. Mr. Speaker, the deceased lived long after the close of the war; he was in office to the day of his death, and I ever heard that the government was in arrears to him.

"Every man in this House knows it is not a debt. We cannot without the grossest corruption, appropriate this money as the payment of a debt. We have not the semblance of authority to appropriate it as charity. Mr. Speaker, I have said we have the right to give as much money of our own as we please. I am the poorest man on this floor. I cannot vote for this bill, but I will give one week's pay to the object, and if every member of Congress will do the same, it will amount to more than the bill asks."

He took his seat. Nobody replied. The bill was put upon its passage, and, instead of passing unanimously, as was generally supposed, and as, no doubt, it would, but for that speech, it received but few votes, and, of course, was lost.

Later, when asked by a friend why he had opposed the appropriation, Crockett gave this explanation:

"Several years ago I was one evening standing on the steps of the Capitol with some members of Congress, when our attention was attracted by a great light over in Georgetown. It was evidently a large fire. We jumped into a hack and drove over as fast as we could. In spite of all that could be done, many houses were burned and many families made houseless, and besides, some of them had lost all but the clothes they had on. The weather was very cold, and when I saw so many children suffering, I felt that something ought to be done for them. The next morning a bill was introduced appropriating $20,000 for their relief. We put aside all other business and rushed it through as soon as it could be done.

"The next summer, when it began to be time to think about election, I concluded I would take a scout around among the boys of my district. I had no opposition there but, as the election was some time off, I did not know what might turn up. When riding one day in a part of my district in which I was more of a stranger than any other, I saw a man in a field plowing and coming toward the road. I gauged my gait so that we should meet as he came up, I spoke to the man. He replied politely, but as I thought, rather coldly.

"I began: 'Well friend, I am one of those unfortunate beings called candidates and---

"Yes I know you; you are Colonel Crockett. I have seen you once before, and voted for you the last time you were elected. I suppose you are out electioneering now, but you had better not waste your time or mine, I shall not vote for you again."

"This was a sockdolger...I begged him tell me what was the matter.

"Well Colonel, it is hardly worthwhile to waste time or words upon it. I do not see how it can be mended, but you gave a vote last winter which shows that either you have not capacity to understand the Constitution, or that you are wanting in the honesty and firmness to be guided by it. In either case you are not the man to represent me. But I beg your pardon for expressing it that way. I did not intend to avail myself of the privilege of the constituent to speak plainly to a candidate for the purpose of insulting you or wounding you.'

"I intend by it only to say that your understanding of the constitution is very different from mine; and I will say to you what but for my rudeness, I should not have said, that I believe you to be honest.

But an understanding of the constitution different from mine I cannot overlook, because the Constitution, to be worth anything, must be held sacred, and rigidly observed in all its provisions. The man who wields power and misinterprets it is the more dangerous the honest he is.'

" 'I admit the truth of all you say, but there must be some mistake. Though I live in the backwoods and seldom go from home, I take the papers from Washington and read very carefully all the proceedings of Congress. My papers say you voted for a bill to appropriate $20,000 to some sufferers by fire in Georgetown. Is that true?

"Well my friend; I may as well own up. You have got me there. But certainly nobody will complain that a great and rich country like ours should give the insignificant sum of $20,000 to relieve its suffering women and children, particularly with a full and overflowing treasury, and I am sure, if you had been there, you would have done just the same as I did.'

"It is not the amount, Colonel, that I complain of; it is the principle. In the first place, the government ought to have in the Treasury no more than enough for its legitimate purposes. But that has nothing with the question. The power of collecting and disbursing money at pleasure is the most dangerous power that can be entrusted to man, particularly under our system of collecting revenue by a tariff, which reaches every man in the country, no matter how poor he may be, and the poorer he is the more he pays in proportion to his means.

What is worse, it presses upon him without his knowledge where the weight centers, for there is not a man in the United States who can ever guess how much he pays to the government. So you see, that while you are contributing to relieve one, you are drawing it from thousands who are even worse off than he.

If you had the right to give anything, the amount was simply a matter of discretion with you, and you had as much right to give $20,000,000 as $20,000. If you have the right to give at all; and as the Constitution neither defines charity nor stipulates the amount, you are at liberty to give to any and everything which you may believe, or profess to believe, is a charity and to any amount you may think proper. You will very easily perceive what a wide door this would open for fraud and corruption and favoritism, on the one hand, and for robbing the people on the other. 'No, Colonel, Congress has no right to give charity.'

"'Individual members may give as much of their own money as they please, but they have no right to touch a dollar of the public money for that purpose. If twice as many houses had been burned in this country as in Georgetown, neither you nor any other member of Congress would have Thought of appropriating a dollar for our relief. There are about two hundred and forty members of Congress. If they had shown their sympathy for the sufferers by contributing each one week's pay, it would have made over $13,000. There are plenty of wealthy men around Washington who could have given $20,000 without depriving themselves of even a luxury of life.'

"The congressmen chose to keep their own money, which, if reports be true, some of them spend not very creditably; and the people about Washington, no doubt, applauded you for relieving them from necessity of giving what was not yours to give. The people have delegated to Congress, by the Constitution, the power to do certain things. To do these, it is authorized to collect and pay moneys, and for nothing else. Everything beyond this is usurpation, and a violation of the Constitution.'

"'So you see, Colonel, you have violated the Constitution in what I consider a vital point. It is a precedent fraught with danger to the country, for when Congress once begins to stretch its power beyond the limits of the Constitution, there is no limit to it, and no security for the people. I have no doubt you acted honestly, but that does not make it any better, except as far as you are personally concerned, and you see that I cannot vote for you.'

"I tell you I felt streaked. I saw if I should have opposition, and this man should go to talking and in that district I was a gone fawn-skin. I could not answer him, and the fact is, I was so fully convinced that he was right, I did not want to. But I must satisfy him, and I said to him:

"Well, my friend, you hit the nail upon the head when you said I had not sense enough to understand the Constitution. I intended to be guided by it, and thought I had studied it fully. I have heard many speeches in Congress about the powers of Congress, but what you have said here at your plow has got more hard, sound sense in it than all the fine speeches I ever heard. If I had ever taken the view of it that you have, I would have put my head into the fire before I would have given that vote; and if you will forgive me and vote for me again, if I ever vote for another unconstitutional law I wish I may be shot.'

"He laughingly replied; 'Yes, Colonel, you have sworn to that once before, but I will trust you again upon one condition. You are convinced that your vote was wrong. Your acknowledgment of it will do more good than beating you for it. If, as you go around the district, you will tell people about this vote, and that you are satisfied it was wrong, I will not only vote for you, but will do what I can to keep down opposition, and perhaps, I may exert some little influence in that way.'

"If I don't, said I, 'I wish I may be shot; and to convince you that I am in earnest in what I say I will come back this way in a week or ten days, and if you will get up a gathering of people, I will make a speech to them. Get up a barbecue, and I will pay for it.'

"No, Colonel, we are not rich people in this section but we have plenty of provisions to contribute for a barbecue, and some to spare for those who have none. The push of crops will be over in a few days, and we can then afford a day for a barbecue. 'This Thursday; I will see to getting it up on Saturday week. Come to my house on Friday, and we will go together, and I promise you a very respectable crowd to see and hear you.

"'Well I will be here. But one thing more before I say good-bye. I must know your name."

"'My name is Bunce.'

"'Not Horatio Bunce?'

"'Yes

"'Well, Mr. Bunce, I never saw you before, though you say you have seen me, but I know you very well. I am glad I have met you, and very proud that I may hope to have you for my friend.'

"It was one of the luckiest hits of my life that I met him. He mingled but little with the public, but was widely known for his remarkable intelligence, and for a heart brim-full and running over with kindness and benevolence, which showed themselves not only in words but in acts. He was the oracle of the whole country around him, and his fame had extended far beyond the circle of his immediate acquaintance. Though I had never met him, before, I had heard much of him, and but for this meeting it is very likely I should have had opposition, and had been beaten. One thing is very certain, no man could now stand up in that district under such a vote.

"At the appointed time I was at his house, having told our conversation to every crowd I had met, and to every man I stayed all night with, and I found that it gave the people an interest and confidence in me stronger than I had ever seen manifested before.

"Though I was considerably fatigued when I reached his house, and, under ordinary circumstances, should have gone early to bed, I kept him up until midnight talking about the principles and affairs of government, and got more real, true knowledge of them than I had got all my life before."

"I have known and seen much of him since, for I respect him - no, that is not the word - I reverence and love him more than any living man, and I go to see him two or three times every year; and I will tell you, sir, if every one who professes to be a Christian lived and acted and enjoyed it as he does, the religion of Christ would take the world by storm.

"But to return to my story. The next morning we went to the barbecue and, to my surprise, found about a thousand men there. I met a good many whom I had not known before, and they and my friend introduced me around until I had got pretty well acquainted - at least, they all knew me.

"In due time notice was given that I would speak to them. They gathered up around a stand that had been erected. I opened my speech by saying:

"Fellow-citizens - I present myself before you today feeling like a new man. My eyes have lately been opened to truths which ignorance or prejudice or both, had heretofore hidden from my view. I feel that I can today offer you the ability to render you more valuable service than I have ever been able to render before. I am here today more for the purpose of acknowledging my error than to seek your votes. That I should make this acknowledgment is due to myself as well as to you. Whether you will vote for me is a matter for your consideration only."

"I went on to tell them about the fire and my vote for the appropriation and then told them why I was satisfied it was wrong. I closed by saying:

"And now, fellow-citizens, it remains only for me to tell you that the most of the speech you have listened to with so much interest was simply a repetition of the arguments by which your neighbor, Mr. Bunce, convinced me of my error.

"It is the best speech I ever made in my life, but he is entitled to the credit for it. And now I hope he is satisfied with his convert and that he will get up here and tell you so.'

"He came up to the stand and said:

"Fellow-citizens - it affords me great pleasure to comply with the request of Colonel Crockett. I have always considered him a thoroughly honest man, and I am satisfied that he will faithfully perform all that he has promised you today.'

"He went down, and there went up from that crowd such a shout for Davy Crockett as his name never called forth before.'

"I am not much given to tears, but I was taken with a choking then and felt some big drops rolling down my cheeks. And I tell you now that the remembrance of those few words spoken by such a man, and the honest, hearty shout they produced, is worth more to me than all the honors I have received and all the reputation I have ever made, or ever shall make, as a member of Congress.'

"Now, sir," concluded Crockett, "you know why I made that speech yesterday. "There is one thing which I will call your attention, "you remember that I proposed to give a week's pay. There are in that House many very wealthy men - men who think nothing of spending a week's pay, or a dozen of them, for a dinner or a wine party when they have something to accomplish by it. Some of those same men made beautiful speeches upon the great debt of gratitude which the country owed the deceased--a debt which could not be paid by money--and the insignificance and worthlessness of money, particularly so insignificant a sum as $20,000 when weighed against the honor of the nation. Yet not one of them responded to my proposition. Money with them is nothing but trash when it is to come out of the people. But it is the one great thing for which most of them are striving, and many of them sacrifice honor, integrity, and justice to obtain it."


65 posted on 06/14/2006 5:50:56 PM PDT by uptoolate (Eph 6:24)
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To: generally

This goes beyond Katrina as far as FEMA help. They did the same for Rita victims some four weeks later.

It's not a matter of insurance as this $2,000 wasn't designed to replace that but to assist during the early stages of the disaster when people needed some emergency help. I took a direct hit from Rita and lost approx. 1/2 of my house total destroyed. It took me over four months to get insurance settlements and then finding a contractor, well good luck. I'm still searching for contractors to do work, brick, dry wall, etc. Yes insurance helped with my living expenses but they weren't immediate.

Many of the people didn't abuse the system but some certainly did. They should be punished to the fullest and made examples of so that in future disasters maybe they'll think twice about committing fraud.


66 posted on 06/14/2006 6:01:15 PM PDT by deport
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To: Ramius

Oh please. It has nothing to do with inbred people in New Orleans, and it wasn't just New Orleans where fraud occurred. If the old money residents of New Orleans had their way, the city wouldn't have become what it did, especially on the eastside. The problem is, old money by default is old money, it doesn't have the ability to outvote the ghetto. New Orleans has the oppurtunity to now do exactly what the old money of the city wants for it, and what they want is for the better of the city, no question.

Much of the fraud was perpetrated by people not from the coast who used false addresses in order to recieve aid. There was a story in the paper here a few months ago about a woman who used an address here to recieve federal aid, an address that did not even exist. This person of course, had never spent much time around here. Neither had FEMA, because they automatically approved the request. The burden was on FEMA to make sure the money was distributed in an efficient manner.


67 posted on 06/14/2006 6:29:15 PM PDT by AzaleaCity5691 (6-6-06 A victory for reason)
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To: Libertarian444

"Now Work was made for two things —
that was a fool and a mule."

— Pettie Wheatstraw, from "Confidence Man"


68 posted on 06/14/2006 6:52:51 PM PDT by Mad_Tom_Rackham (Memo to GOP: Don't ask me for any more money until you secure our Southern border.)
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To: prophetic
and last but not least, even Cindy Sheenan dropped by FEMA and got several cases of MREs, several bags of ICE and other goodies.

They should have given her some anti-psychotics too.

69 posted on 06/14/2006 6:57:22 PM PDT by Mad_Tom_Rackham (Memo to GOP: Don't ask me for any more money until you secure our Southern border.)
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To: Libertarian444
UPDATE from CNN.com:

Total fraud may be as high as 1.4 BILLION dollars:

http://www.cnn.com/2006/US/06/14/fema.audit/index.html

GAO investigators estimated $1 billion of FEMA's $6.3 billion in relief payments were made to people who submitted invalid registrations, including incorrect Social Security numbers and bogus addresses.

Because the figures were calculated using a random sample of 247 applications out of about 2.6 million submitted, however, the GAO said the amount could range from $600 million to as much as $1.4 billion.

The GAO also found that FEMA lost track of 750 debit cards, worth a total of $1.5 million.

The agency still cannot account for 381 cards, worth about $760,000 total, which JPMorgan Chase says it distributed, according to the GAO.
70 posted on 06/14/2006 7:13:04 PM PDT by Libertarian444
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To: p. henry
Government is the ultimate monopoly. It has no competition. There are no market forces that drive it out of a business if it performs foolishly or inefficiently. And the more it tries to do, the worse its overall performance becomes. Reagan was right. Government does not solve problems. It is the problem.

Roger that big time!

71 posted on 06/14/2006 7:20:50 PM PDT by Mad_Tom_Rackham (Memo to GOP: Don't ask me for any more money until you secure our Southern border.)
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To: Bob
Which do you prefer that GWB be bashed with: FEMA was absolutely wrong to rush aid to people because it resulted in fraud and waste.

or

FEMA was absolutely wrong to delay aid to people because of unreasonable fears that providing it hastily would result in fraud and waste.

Take your pick. I've heard both opinions expressed.

It's what the dems live for--a classic lose/lose for Bush, aka "Damned if you do, and damned if you don't."

72 posted on 06/14/2006 7:36:39 PM PDT by TruthShallSetYouFree (Abortion is to family planning what bankruptcy is to financial planning.)
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To: AzaleaCity5691
Oh please. It has nothing to do with inbred people in New Orleans

I'm unconcerned with however inbred they may or may not be, but it has *everything* to do with the people in New Orleans. You may forget that the rest of the country got to *watch* as New Orleans showed us all what a third-world cesspool it was.

Hurricanes have hit states all throughout the Southeast for many decades. In most cases the rest of us are left standing in awe of the human courage and benevolence that rises from such desperate times. But in New Orleans we got another kind of lesson... one that I won't soon forget.

What happened in New Orleans was embarrassing, but not because of FEMA or the National Guard or the other responders. They did the best they could in an impossible situation. New Orleans was an embarrassment because of the people there. Mere animals would have behaved better.

73 posted on 06/14/2006 8:00:46 PM PDT by Ramius (Buy blades for war fighters: freeper.the-hobbit-hole.net --> 1400 knives and counting!)
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To: Libertarian444

The GAO uncovered records showing $1,000 from a FEMA debit card went to a Houston divorce lawyer, $600 was spent in a strip club, and $400 bought "adult erotica products," all of which auditors concluded were "not necessary to satisfy legitimate disaster needs."


Ha ha-line of the day!

what kind of aids would satisfy the disaster needs?


74 posted on 06/14/2006 8:18:12 PM PDT by hercuroc
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To: Ramius
You may forget that the rest of the country got to *watch* as New Orleans showed us all what a third-world cesspool it was.

No. What you and the rest of the country saw was a very small part of the city's low life acting like they belonged in a third world cesspool. The other 99.9% of New Orleans citizens were just as outraged and embarrassed as the rest of you. There were riots in Chicago and Detroit after their teams won the NBA championships. No one thought these cities were cesspools because of them.

75 posted on 06/14/2006 9:22:24 PM PDT by Saints fan
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To: generally
What if your house got hit by lightning tonight and burned to the ground? Aren't you just as much in need as someone who got flooded out by Katrina?

Yes you would be in need. But a more proper annalogy would be if your entire city, and all your infrastructure were burned to the ground. All your grocery stores, schools, health clinics, hospitals, businesses(your job),electrical generating plants, gas stations,sewerage lines, water lines,churches and other support structures were also burned to the ground. All your neighbors and family were scattered to the wind. That would be a more appropriate comparrison.

76 posted on 06/14/2006 9:32:55 PM PDT by Saints fan
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To: Moose4

You're right. They only sell beer.


77 posted on 06/14/2006 9:50:19 PM PDT by publana (yes, I checked the preview box without previewing)
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To: nutmeg

bookmark


78 posted on 06/14/2006 9:50:57 PM PDT by nutmeg ("We're going to take things away from you on behalf of the common good." - Hillary Clinton 6/28/04)
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To: Libertarian444

Horrible! They said on the news somebody even used FEMA money to get a sex change operation. Whoever let this happen needs to be fired. NOW.


79 posted on 06/15/2006 12:25:11 AM PDT by lqclamar
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To: Libertarian444

Is 16% waste really that bad for a massive Federal program put together in a few eeks? I suspect the average waste in "well planned" Federal programs isn't much lower.


80 posted on 06/15/2006 12:49:57 AM PDT by gondramB (We may have done a lill' bit of fightin amongst ourselves but you outside people best leave us alone)
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