Audit: FEMA continues to squander millions in Katrina aid
WASHINGTON (AP) One year after Katrina, the government is still squandering tens of millions of dollars in wasted disaster aid, including $17 million in bogus rental payments to people who had already received free trailers and apartments, federal investigators said Wednesday.
At the same time, the Federal Emergency Management Agency has recovered less than 1% of the $1 billion it wasted on fraudulent hurricane assistance after the August 2005 storm, highlighting a need for stronger controls the next time a major hurricane strikes.
The report by the Government Accountability Office paints a picture of an agency still struggling at substantial taxpayer expense to find the balance between distributing quick aid to those in need while guarding against substantial abuse.
Last week, a federal judge in Washington ordered the Bush administration to resume housing payments for thousands of people displaced by Katrina, criticizing FEMA for a convoluted application process. FEMA is appealing that ruling.
The GAO audit found that numerous aid applicants received duplicate rental aid, with FEMA in one case providing free apartments to 10 people in Plano, Texas, while sending them $46,000 to cover out-of-pocket housing expenses.
Another $20 million was wasted on thousands of individuals who claimed the same property damage from both Hurricanes Katrina and Rita. FEMA also paid at least $3 million to more than 500 ineligible foreign students in the stricken Gulf Coast, the report said.
"Ineffective preventive controls have resulted in substantial fraudulent and improper payments," said GAO investigator Gregory Kutz. "The additional examples of potentially fraudulent and improper payments in our testimony today show that our estimate of $1 billion in improper and/or fraudulent payments is likely understated."
http://www.usatoday.com/news/washington/2006-12-06-katrina-fraud_x.htm
People are complaining that FEMA isn't helping??? Apparently, they're not only helping, they are helping people who are fraudulently filing multiple claims. Is this FEMA's fault??? People will complain if too much red tape is involved; but this is what happens when they try to act in a timely fashion for people who need help now (IMO, of course!!)!!