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Outraged Citizens Turn in Katrina Scammers
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ShareAugust 29, 2006 2:51 PM
In the wake of Hurricane Katrina ordinary Americans led the way in donating money to help with the relief effort. Now many citizens are stepping up and leading the way again to help catch criminals who've taken advantage of billions of dollars of Katrina money.
Hundreds of calls have been pouring into Katrina fraud hotlines set up by the Departments of Justice and Homeland Security.
David Dugas, U.S. attorney for the Middle District of Louisiana, heads the Katrina Fraud Task Force out of Baton Rouge. He says that 60 percent of the almost 7,000 cases of fraud under investigation came from hotline tips. "Many times hotlines aren't that productive," says Dugas. "Members of the public calling the hotline are clearly outraged about what they're seeing around the country, and I think that's why we're getting so many good calls and so many good leads."
Dugas says people have turned in family members, employees, bosses and friends. "We're receiving reports of all types of fraud," he says. "If the reports have merit, we're chasing every one down."
So far Dugas and his team have prosecuted close to 400 cases, and new indictments are announced almost daily.
Pastor Randy Millet of St. Bernard's Parish in New Orleans counsels dozens in his congregation who really have lost their homes and loved ones in Hurricane Katrina. He says he can see why so many citizens are furious at scammers. "It makes Americans, who are good at heart, that want to give and help, they want their tax dollars to help people…it makes them angry," says Millet. "It makes them feel like we've all been betrayed."
Dugas says the hotline has become a bright spot in dealing with the most massive case of fraud this country's ever had. "It's actually encouraging to me that it seems like for every criminal out there, there's some honest citizen who's outraged by the conduct that they're seeing,” he says “and outraged enough to pick up the phone and call law enforcement and give us the information we need to prosecute these people.
Click here to find out how to report Katrina fraud.
August 29, 2006 in Hurricane Katrina | Permalink | User Comments (11)
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It was mentioned on CBS News (anti-Bush propaganda), Hezbollah was handing out hard cash money to the Lebanese people quicker than the victims of Katrina receive it. Can you imagine bankers walking down town New Orleans handing out millions in cash, out in the open? Never happen.
Posted by: Lee | Aug 29, 2006 4:07:21 PM
Jeez I hope not! Hate to think what would happen to them. Charge!!!!!
Posted by: wackford Squaares | Aug 29, 2006 5:32:30 PM
Just because Hezbollah was handing out american dollars to Lebanese people, doesn't mean that the money was legitimate. I hear that Iran and Syria have the biggest counterfeiting organizations in the world.
Posted by: kalani | Aug 30, 2006 8:16:21 PM
What about Halliburton? Isn't it one of the biggest criminals in Katrina? Is anyone investigating them?
Posted by: Servilia Caepio | Aug 31, 2006 1:54:27 PM
Great - let's give big bucks to the scum bags that were unemployed and lazy before Katrina too.
Why are we talking about re-building that place? Would you re-build an outhouse if it burned down or was flooded? Pre-Katrina New Orleans was a disgusting place for many reasons.
Less PC and more common sense.
Posted by: Left N.O. 4 Good | Aug 31, 2006 2:38:48 PM
Halliburton is the company I would love to see how the Katrina funds sent to them were spent. I believe the largest firm doing this work should be checked and either applauded or jailed. Steve
Posted by: Steve | Aug 31, 2006 3:12:31 PM
Why is it that the far left liberal types always speak of Haliburton as if it were some sort of criminal?
Sometimes non competitive contracts are given because THERE IS ONLY ONE company that does that type of work. Give them credit for seeing a need and filling it! If it were not for Haliburton, many needed jobs would simply not get done.
Guess what? Haliburton also hires people to work for them! Imagine that! They actually create JOBS that otherwise would not be there. There are fewer people on the public dole because of Haliburton.
I don't work for Haliburton, and I don't know anyone who does, but I'm just sick to death of hearing people who have never taken a basic economics class whine about them. Come on, people. Listen to how stupid you sound. You're like a broken record. Get over it and let those who can . . . do.
Posted by: WaterBird | Sep 1, 2006 6:51:25 PM
Katrina was handled badly, both by the government and by some of the people who endured it. This has nothing to do with party affiliations. Between some individuals abusing the public assistance they were given and some companies that were more interested in making a fast buck than doing the right thing, We the People got screwed again.
As for rebuilding NO, maybe it's a good idea to let the most devastated areas revert back to nature. New Orleans didn't just show up pre-assembled, it took people carving it out of the swamp. Why not try it again, this time at least a few feet above sea level.
Posted by: Poor Richard | Sep 5, 2006 4:48:54 PM
Anyone who's taken Macro 101 and has bothered to follow the news about what's happened to the money that's gone to N.O. would have to be disgusted. All of the money given to individuals in N.O. combined is a fraction of the no-bid contracts that went to all the usual big government contractors. "Emergency procurements" are on the most abused types of government contracting and require close oversight to insure that the taxpayers aren't taken to the cleaners. The oversight of the contracts rushed out after Katrina has been pathetically non-existent. This is a disservice to both the citizens of N.O., who are supposed to be receiving help rebuilding their homes and lives, and the American Taxpayer. Listen up, all you so-called conservatives, this is a textbook example of big government abuse and it's coming down on you too.
Posted by: bureaubasher | Sep 5, 2006 9:40:48 PM
BTW - For a beautiful illustration of US Government contract management in action, click on the story at left entitled "And the Mystery Sentator is..." It seems that our Congress (especially a certain conservative Republican) is less than enthusiastic about us knowing who they're giving our tax dollars to.
Posted by: bureaubasher | Sep 6, 2006 12:31:10 PM
It was mentioned on CBS News (anti-Bush propaganda), Hezbollah was handing out hard cash money to the Lebanese people quicker than the victims of Katrina receive it. Can you imagine bankers walking down town New Orleans handing out millions in cash, out in the open? Never happen.Jeez I hope not! Hate to think what would happen to them. Charge!!!!!Just because Hezbollah was handing out american dollars to Lebanese people, doesn't mean that the money was legitimate. I hear that Iran and Syria have the biggest counterfeiting organizations in the world.Why is it that the far left liberal types always speak of Haliburton as if it were some sort of criminal?
Sometimes non competitive contracts are given because THERE IS ONLY ONE company that does that type of work. Give them credit for seeing a need and filling it! If it were not for Haliburton, many needed jobs would simply not get done.
Guess what? Haliburton also hires people to work for the
Posted by: juliana | Mar 22, 2009 6:19:28 PM
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