Thursday
Mar192009
$55 Billion in Fraud Anticipated
Thursday, March 19, 2009 at 5:08PM
University of New Mexico, Talk Radio News
At the House Committee on Oversight & Government Reform Earl Devaney, chairman of the Recovery Act Transparency and Accountability Board, said that he was creating a user friendly website: http://www.doioig.gov/index.php?menuid=460&viewid=613&viewtype=PAGE , and that some reporters are already using it.
Rep. Dennis Kucinich (D-Ohio) asked Devaney for assurance that the Recovery Act funds that have gone to existing programs are being spent quickly. Devaney said that he could not provide that.
Dan Burton (R-Ind.) asked Devaney about an expected $55 billion in fraud as the Recovery Act funds go out. Devaney confirmed that about seven percent fraud is a credible estimate, and the best law enforcement can provide is zero tolerance.
Rep. Jimmy Duncan (R-Tenn.) points out that not all of the stimulus money is creating jobs, citing $40 million in his own district that went to raises, standing bills and only two new jobs.
At the House Committee on Oversight & Government Reform Earl Devaney, chairman of the Recovery Act Transparency and Accountability Board, said that he was creating a user friendly website: http://www.doioig.gov/index.php?menuid=460&viewid=613&viewtype=PAGE , and that some reporters are already using it.
Rep. Dennis Kucinich (D-Ohio) asked Devaney for assurance that the Recovery Act funds that have gone to existing programs are being spent quickly. Devaney said that he could not provide that.
Dan Burton (R-Ind.) asked Devaney about an expected $55 billion in fraud as the Recovery Act funds go out. Devaney confirmed that about seven percent fraud is a credible estimate, and the best law enforcement can provide is zero tolerance.
Rep. Jimmy Duncan (R-Tenn.) points out that not all of the stimulus money is creating jobs, citing $40 million in his own district that went to raises, standing bills and only two new jobs.
Administration Has Zero Tolerance For Stimulus Fraud, Says Biden
Talk Radio News Service
Despite the fact that his administration has received frequent criticism over the Recovery Act, Vice President Joe Biden told reporters on Friday that it has been a success. By acting with “transparency, responsibility, and accountability,” he argued that the Recovery Act, or stimulus bill, has revived the U.S. economy by spurring growth and creating jobs with minimal cases of fraud.
According to Biden, out of 170,000 checks that have been sent out to companies and individuals involved in stimulus projects, only .2% are under investigation for fraud.
Biden who was tapped by President Barack Obama last year to oversee the implementation of the Recovery Act, echoed the President's desire to fully account for all money spent, and that appropriate actions will be taken to handle evidence of fraud.
"We should take every action possible [and] legally under our power to...impose sanctions in freezing those funds," said Biden.
The Vice President said he believes new technologies and programs that allow the government to detect fraud more easily will deter future attempts at fraud.
“We have weapons,” he said. “We have weapons that we didn’t have, didn’t use before.”