Fema Fraud Tops $1 Billion

[zeb1094]

It's been almost a year since Hurricane Katrina tore through New Orleans, breaking levies and displacing thousands of residents. The belief of the public has been since then that FEMA did not do enough in the aftermath of the hurricane. They didn't respond fast enough and when they did respond, it wasn't with enough resources. Well, there is news today that perhaps the latter isn't true anymore.

We've heard these stories before involving these debit cards FEMA handed out to Katrina "evacuees." Essentially cash, the debit cards could be spent on anything anywhere credit cards were accepted. And "anything" about describes what these poor refugees did with the taxpayer's money. Among the findings of the Government Accountability Office in a new report on the subject:

1. Over $1 billion in fraud and waste was found in the distribution of federal assistance after hurricanes Katrina and Rita. That's billion with a "B."

2. The debit cards handed out were used to buy everything from diamond jewelry to a vacation in the Dominican Republic.

3. The displaced evacuees also bought a $200 bottle of champagne at a Hooters in San Antonio and $300 worth of Girls Gone Wild videos.

4. $1000 was spent on a divorce lawyer, $600 at a strip club and $400 on other adult products.

 

[Selena_Kitt]

I read that someone also used the debit card for a sex change operation.

now, that's what I call misappropriation of funds...

so twisted...

 

[ABSTRUSE]

I read that someone also used the debit card for a sex change operation.

now, that's what I call misappropriation of funds...

so twisted...

I heard that too....wtf?


Wasn't FEMA dismantled?

 

[zeb1094]

No, not yet, but the idiot that was in charge resigned.

I really hate the government reaching into my pocket to allow a few lowlifes to in essense, steal my money to use on things like that.

 

[ABSTRUSE]

No, not yet, but the idiot that was in charge resigned.

I really hate the government reaching into my pocket to allow a few lowlifes to in essense, steal my money to use on things like that.

Okay, I thought I heard that they were doing away with it all together.

 

[Selena_Kitt]

Okay, I thought I heard that they were doing away with it all together.

I thought I read that somewhere too...

 

[zeb1094]

Okay, I thought I heard that they were doing away with it all together.

Mmm...sorry I hadn't heard that, although in recent history FEMA has dropped the ball, they have done good work in the past. Although I do belive that the private sector handles emergencies much better than government.

 

[ABSTRUSE]

Mmm...sorry I hadn't heard that, although in recent history FEMA has dropped the ball, they have done good work in the past. Although I do belive that the private sector handles emergencies much better than government.

I think they were totally unprepared and mismanaged. Its a sad state of affairs. People lost so much.

 

[Selena_Kitt]

I knew I heard it:

Panel says scrap FEMA

 

[zeb1094]

I think they were totally unprepared and mismanaged. Its a sad state of affairs. People lost so much.

Yes it was...

The government is only good at screwing things up, they should keep their nose out of private affairs.

 

[ABSTRUSE]

I knew I heard it:

Panel says scrap FEMA

As a result, the report says, "almost exactly four years after Sept. 11, Katrina showed that the nation is still unprepared to respond to a catastrophe"

How sad it that?

 

[rgraham666]

I have to wonder.

In my opinion, the government does a lot of things well. The armed forces, the legal system, water, roads, ad infinitum. Not perfect by any means, but over all they do a good job.

But when the government screws up, as in this instance, many people take it as a sign that government never, ever worked at all and needs to be shot in the head and dumped in a field.

The same people never demand the same standard of the private sector. Enron? Happenstance. The dot bomb bubble? Shrugs. Just the way the world works. Gaming the power system in California and bilking taxpayers out of billions of dollars? That's not indicative of a system failure. The dismantling of our industrial infrastructure and exporting of jobs elsewhere? Economics demands we do it.

It seems to me there's rather a bit of a double standard here.

I'm not saying FEMA didn't fuck up. And I'm not saying that the fraudsters and the people in charge shouldn't be investigated and prosecuted. I'm just saying apply the same standards across the board.

 

[zeb1094]

I have to wonder.

In my opinion, the government does a lot of things well. The armed forces, the legal system, water, roads, ad infinitum. Not perfect by any means, but over all they do a good job.

But when the government screws up, as in this instance, many people take it as a sign that government never, ever worked at all and needs to be shot in the head and dumped in a field.

The same people never demand the same standard of the private sector. Enron? Happenstance. The dot bomb bubble? Shrugs. Just the way the world works. Gaming the power system in California and bilking taxpayers out of billions of dollars? That's not indicative of a system failure. The dismantling of our industrial infrastructure and exporting of jobs elsewhere? Economics demands we do it.

It seems to me there's rather a bit of a double standard here.

I'm not saying FEMA didn't fuck up. And I'm not saying that the fraudsters and the people in charge shouldn't be investigated and prosecuted. I'm just saying apply the same standards across the board.

What you say is true and there are organizations that can handle the crisis better as they have been doing it a lot longer than the government. The Red Cross comes to mind along with private industry. As I recall, Wal-Mart was one of the first responders to Katrina, they had stuff there before the National Guard was there.

It might be smart to shrink the organization known as FEMA and have it just coordinate with the charitable organization and the private sector, while funneling the funds to them to be used in the crisis. I think things would work much smoother and the stuff that's needed would get there a lot faster.

 

[rgraham666]

But zeb, one of the problems with FEMA is that it was shrunk.

It used to be an independent organization, a Cabinet level responsibility as I recall.

It was shrunk and folded into Homeland Security. The fact that a courtier and a close friend of the current administration was placed in charge didn't help.

Certainly Wal-Mart responded, but can even Wal-Mart match the work that the federal or even state government can call forth?

Your next point will undoubtedly be, "But what if all corporations respond?"

There's no guarantee they will. There's nothing in the philosophical or ethical directives of a corporation that demands they participate in disaster relief. Their concerns are the concerns of the corporation, not society at large.

And such a response will be highly unfocused and so dreadfully inefficient. They might have enough blankets on hand, but not enough bulldozers and heavy equipment. Or too much of the latter and not enough of the former.

Private disaster relief, in my opinion, will be no more successful than private armies. And perhaps just as dangerous to the public good.

 

[sophia jane]

But zeb, one of the problems with FEMA is that it was shrunk.

It used to be an independent organization, a Cabinet level responsibility as I recall.

It was shrunk and folded into Homeland Security. The fact that a courtier and a close friend of the current administration was placed in charge didn't help.

Certainly Wal-Mart responded, but can even Wal-Mart match the work that the federal or even state government can call forth?

Your next point will undoubtedly be, "But what if all corporations respond?"

There's no guarantee they will. There's nothing in the philosophical or ethical directives of a corporation that demands they participate in disaster relief. Their concerns are the concerns of the corporation, not society at large.

And such a response will be highly unfocused and so dreadfully inefficient. They might have enough blankets on hand, but not enough bulldozers and heavy equipment. Or too much of the latter and not enough of the former.

Private disaster relief, in my opinion, will be no more successful than private armies. And perhaps just as dangerous to the public good.

You're right in this. FEMA used to handle things as their own department, and while I can't say for certain that there weren't fuck-ups before it became part of the Dept of Homeland Security, I do know that there was never this level of scandal before the merge.

And I want to add this: as someone who got some FEMA money and desperately needed it, this whole thing bugs me. First, because people misused the money. But second because as my FEMA process wore on, they screwed us more and more. Things were promised to us in the beginning that never developed. So while they were helping people who wasted the money, they weren't helping plenty of folks who really needed the money to rebuild and repair and move.

 

[zeb1094]

But zeb, one of the problems with FEMA is that it was shrunk.

It used to be an independent organization, a Cabinet level responsibility as I recall.

It was shrunk and folded into Homeland Security. The fact that a courtier and a close friend of the current administration was placed in charge didn't help.

Certainly Wal-Mart responded, but can even Wal-Mart match the work that the federal or even state government can call forth?

Your next point will undoubtedly be, "But what if all corporations respond?"

There's no guarantee they will. There's nothing in the philosophical or ethical directives of a corporation that demands they participate in disaster relief. Their concerns are the concerns of the corporation, not society at large.

And such a response will be highly unfocused and so dreadfully inefficient. They might have enough blankets on hand, but not enough bulldozers and heavy equipment. Or too much of the latter and not enough of the former.

Private disaster relief, in my opinion, will be no more successful than private armies. And perhaps just as dangerous to the public good.

Your correct there were inept people in charge at the governmental levels all around. FEMA, State of Louisiana, City of New Orleans...corruption at the City government level that diverted money from re-enforcing levees to who knows where.

And disaster relief belongs in the private sector, why depend on government to pull you out of the mud when the local tow truck can do it quicker and cheaper. Big government is nothing but a money hole that tax dollars disappear into in an endless stream.

 

[zeb1094]

You're right in this. FEMA used to handle things as their own department, and while I can't say for certain that there weren't fuck-ups before it became part of the Dept of Homeland Security, I do know that there was never this level of scandal before the merge.

And I want to add this: as someone who got some FEMA money and desperately needed it, this whole thing bugs me. First, because people misused the money. But second because as my FEMA process wore on, they screwed us more and more. Things were promised to us in the beginning that never developed. So while they were helping people who wasted the money, they weren't helping plenty of folks who really needed the money to rebuild and repair and move.

Ain't that the truth. Maybe you should have moved to Houston and squatted in a hotel like some of those that abused the system did. Then you probably would gotten what you needed.

And knowing you as the level headed young lady that you are I don't think you would have squandered the money on expensive wine and sex toys.

 

[Guest]

How dare people take advantage of the taxpayer? Who do they think they are? Halliburton? Shit, they act like they own a Congressman.

Snark aside, in any assistance program, you are going to have abuse. It's human nature. Should a few bad apples be reason to not help those in need? There are those who'd say a resounding yes. I'm not one of them.

 

[zeb1094]

How dare people take advantage of the taxpayer? Who do they think they are? Halliburton? Shit, they act like they own a Congressman.

Snark aside, in any assistance program, you are going to have abuse. It's human nature. Should a few bad apples be reason to not help those in need? There are those who'd say a resounding yes. I'm not one of them.

I also am not one of them. It would just seem to me that the more government becomes involoved in our business the worse things get.

 

[sophia jane]

Ain't that the truth. Maybe you should have moved to Houston and squatted in a hotel like some of those that abused the system did. Then you probably would gotten what you needed.

And knowing you as the level headed young lady that you are I don't think you would have squandered the money on expensive wine and sex toys.

Nope ALL of our FEMA money went to moving into this house. Then our Red Cross assistance was used to buy food, finish the moving expenses, and replace the things that we lost. It still wasn't enough, of course. But we were thankful for the help we got, and only a little bitter over the red tape we got while people took advantage of the system and got away with it.

 

[zeb1094]

Nope ALL of our FEMA money went to moving into this house. Then our Red Cross assistance was used to buy food, finish the moving expenses, and replace the things that we lost. It still wasn't enough, of course. But we were thankful for the help we got, and only a little bitter over the red tape we got while people took advantage of the system and got away with it.

See I knew I was right! You are a great mom who would always see to her children first.

 

[Stella_Omega]

See I knew I was right! You are a great mom who would always see to her children first.

Gosh darn nearly every mother is, Zeb. Honest.

You can just about bet your boots that hardly any Hurricane refugee mom bought Champagne or a sex change before seeing to her children.

Which part of the private sector are you tapping for disaster relief? What if no private organisations feel like engaging in such an unprofitable enterprise? There's no law saying they have to, don't forget. That's why the government got involved in public works in the first place- to take up the slack.

Maybe Land-owner Ralph Horowitz would like to be a benificent entity. He has plenty of money, He could raise a whole lot of housing on the land he just took back- just in time for the next wave of hurricane victims that may, with all possibility, be coming along this summer.
Doesn't sound too likely, though, not to me.

 

[Guest]

Cré boucane!

 

[Joe Wordsworth]

FEMA paid me $360,000.

Evacuees stayed at a couple of my hotels, the hotel assistance program and coordination of FEMA numbers and transportation assistance kept a few hundred people off the street, out of the cold, and sheltered while they got their lives together.

FEMA, in my opinion, didn't do so bad, there.

 

[rgraham666]

Zeb, the purpose of a government is to serve the public good. The purpose of a private enterprise is to makes money.

If, say, a private company engaged in disaster relief decided it was more profitable to not respond to a disaster than to do something who would stop them? The government?

And while the government is engaging in investigating and prosecuting the business, who helps the disaster victims.

Disaster relief, like the military, the justice system, sewage and water treatment, and infrastructure is a matter of the public good, a service to society. Societies that moved those things into the private domain ended up regretting it, every time.