Justice Department Probing Widespread Stimulus Fraud

The Fiscal Times ^ | April 6, 2012 | By ERIC PIANIN

[Oldeconomybuyer]

In what is shaping up as another troubled chapter in the saga of the Obama Administration’s economic stimulus program, the Justice Department is investigating whether billions of dollars worth of federal highway and transportation programs are rife with fraud and abuse.

Federal investigators have uncovered widespread financial management problems with many of the projects. As of early March, federal authorities were investigating 66 cases of alleged false statements, bid rigging, fraud and embezzlement, according to a report by Calvin L. Scovel III, the Department of Transportation’s inspector general. Justice Department lawyers are scouring 47 of those cases for potential prosecution, according to Scovel.

Twenty-five of those cases involve alleged fraud by minority-owned or operated enterprises that received preferential treatment in the awarding of the contracts, while 22 involve allegations of false claims.

The investigations into a signature Obama administration economic program could add to President Obama’s political headaches as he campaigns for reelection this fall.

[bgill]

Widespread fraud! Say it isn’t so, Joe!!!

[adorno]

In other similar news, the foxes will be investigating who raided the hen-house, and the big bad wolf will be put in charge of finding the culprit who knocked down the homes of the three little pigs.

[ProtectOurFreedom]

You’re probably spot-on. I couldn’t conceive of a reason why Holder’s DOJ would do this; your theory makes sense.

[stephenjohnbanker]

LOL

[stephenjohnbanker]

” If this DOJ probes anything attached this administration it is exclusively meant to locate and destroy any files associated to criminal activities”

WINNER!!

[Noob1999]

Since the GSA has oversight responsibilities, clearly this is Bushs’ fault, right Zer0??