Coronavirus / Home & Family / Technology

Massive Fraud Follows COVID Spending Spree

AMAC Exclusive

fraudA little over a year has passed since the federal government started pumping trillions of dollars into the economy in the form of stimulus checks, boosted unemployment checks, and the Paycheck Protection Program. And a little over a year has passed since fraudsters started hitting paydirt.

When the Inspector General of the US Department of Labor (DOL) announced in March that his office estimates that $63 BILLION in improper payments were made in the unemployment program alone since the pandemic began, US Rep. Kevin Brady (R-TX) described it as an “epidemic of fraud.”

He also pointed out that the $63 billion lost “is larger than the entire budget of the Department of Homeland Security.”

Yet that might be the low end. Others have estimated the amount lost may be as high as $200 billion.

Unemployment scammers have worked hard in at least one way. Month in and month out, they’ve produced the most colorful stories of fraud during the pandemic.

From the Nigerian fraud ring that stole hundreds of millions of dollars from Washington State’s Employment Security Department to a California rapper named Nuke Bizzle who made a music video about stealing unemployment benefit cards before officials arrested him, the unemployment program’s vulnerability has inspired creative criminals.  The Foundation for Government Accountability has been keeping track of unemployment fraud and published a top 10 list of the most egregious fraud cases last year.

Unfortunately for businesses that pay unemployment insurance costs, the fraud is rampant, widespread, and showing no signs of slowing down.

But unemployment is not the only kind of fraud that’s gotten much worse. It might not even be the most expensive.

Medicaid’s improper payment rate, which is driven by fraud, exploded from less than 15 percent in 2019 (already an outrageous number) to over 21 percent in 2020. That translates to more than $85 BILLION in Medicaid fraud or almost the entire budget for the Department of Transportation.

Much of this is either willingly tolerated by the left or even planned. When Congress passed the Families First Coronavirus Response Act (FFCRA) in March of 2020, it restricted states from removing almost any enrollee from Medicaid, even if they become ineligible or commit fraud.

And Medicaid already had other provisions, like hospital presumptive eligibility, characterized by some as “fraud by design.”

The pandemic has only exacerbated many of these longstanding problems. The FBI’s Atlanta Field Office, for example, discovered a man who stole the identities of thousands of children when they signed up for after-school programs like football camp and charged state Medicaid programs for fake mental health services he never performed.

Beyond the existing unemployment and Medicaid programs, the federal government created several new programs during the pandemic, which have only generated new forms of fraud.

Congress and the Trump Administration designed the Paycheck Protection Program, or PPP, to infuse easily-forgiven loans into small businesses to keep payrolls afloat. But that’s not always where the money has gone or what it was used for.

In Minnesota, a man forged documents and bought a Harley Davidson. Another man in Florida took $3.9 million in loans from the Paycheck Protection Program and bought a sports car worth more than $300,000, among other things.

By January of this year, over $340 million in attempted fraud was perpetrated through PPP.

And, of course, the IRS has warned the public from the very beginning about multiple, ongoing scams related to the economic impact payments, or stimulus checks, the agency has processed during the pandemic.

If money is the root of all evil, the federal government’s yearlong pandemic spending spree seems to have planted quite a few seeds.

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1 year ago

The Government can screw up a wet dream. Why can’t the experts dispense money as needed to the State level and the state can disperse it down to the county level as needed?

Nancy R.
1 year ago

Actually, it’s the love of money that is the root of all evil. I’ve always thought the unemployment insurance program was a bad idea, but now its elimination is crucial. Paying people to not work when employers cannot find people willing to work is stupid. Someone stole my identity trying to claim unemployment benefits, and to my knowledge they have not been caught or prosecuted. The fraud is rampant and the government is woefully inept at administering programs. These government theft and giveaway programs need to end if we are to survive as a country.

David Parrish
1 year ago

Imagine that!!! Fraud in the biden administration!!! Makes me laugh. Weren’t he and bozobama bragging about no scandels during their administration? Look how that turned out!!!!

1 year ago

The biggest fraud is Biden!!!

Pat R
1 year ago

And now Congress is talking Medicare for All. Since gov’t doesn’t handle anything without waste and with no real oversight, no way should such a program be allowed. More than ever we need term limits on Congress members. Seems they get lots of pay for doing little more than only passing bills that they get pay-offs for doing so, thereby becoming non-working millionaires or even billionaires by the time they retire.
They should get compensation while in office for no more than 2 terms, and nothing after, no retirement other than what they paid into Soc Sec or a 401k for when they become retirement age like the rest of us.

1 year ago
Reply to  Pat R

As of 2020, over half of the members of Congress were millionaires and the median net worth of members was approximately $1 million. We are being ruled by the wealthy elite! Why are they even taking a salary at ALL?? That’s no sacrifice or service to the country!

Last edited 1 year ago by Duane
Geoffrey Lantos
1 year ago

Money is not the root of all evil. “For the LOVE of money is a root of all kinds of evils.” (1 Timothy 6:10).

1 year ago

It is just amazing how many dishonest people there are in this world. They have always been with us, and one step toward thwarting at least part of this thievery is to not vote Democrat. According to the article addressing this, some of this fraud may actually be planned; I don’t doubt it, cheating runs down one particular party line. A most disturbing article.

1 year ago
Reply to  John

Absolutely True!!! The Demonic DemonRats have shown America that they will do whatever it takes to get into office and promote their corrupt practices! A party that was once the party of the working man is nothing more than a corrupt group of self serving socialist that are doing everything possible to force their agenda down every red blooded Americans throat!!!

1 year ago

The DemonRats are being careless , thieves with our money. I am 83 years old and they are yet to send my wife and I our stimulus checks.

1 year ago

What do you do when the biggest fraud is at the head of our government?

Jim C.
1 year ago

1 Timothy 6:10 (NLT)10 For the love of money is the root of all kinds of evil. And some people, craving money, have wandered from the true faith and pierced themselves with many sorrows.

Michael G
1 year ago
Reply to  Jim C.

Thank you for correcting the most misquoted scripture in the Bible. It’s good to see someone besides myself knows their Bible.

1 year ago

Honesty along with morals are destroying the country. There has to be a way to stop all of this. However, I believe the good people will prevail. Democrats…..think about what you are doing. You have to eventually face our Lord.

1 year ago

???? A “Crime Syndicate” is at our helm, holding Americans hostage… as they are making the most of this ‘viral crisis’ to further their agenda to strip all of us of our freedoms and establish themselves as the ultimate authority… for the sole purpose of controlling us in every way to eliminate middle class America & institute a 2-Class Society. The privileged rich & all other being relegated to lives of “serfdom”! We have digressed back into the Medieval Days of Europe.

1 year ago

Money is NOT the root of all evil…..the abuse of money IS!!!

1 year ago

If the democrats are involved in anything, it’s fraud from the get go

Sue Scott
1 year ago
Reply to  HocasPocas

Proven too many times.
Stop Crime in Our Government ????????????????

1 year ago

The communist, Marxist, actions of jobama, commie harris and corrupt democrats are now at Citizens doors.
Giuliani residence raided by federal agents because of support for President Trump and alerting Americans to election fraud, he’s considered by them an enemy of the state.
Sound like china,rissia,Venezuela and other communists????
Wake up People , these traitors are after ending freedom.

Last edited 1 year ago by Garye
1 year ago
Reply to  Garye

Yeah, and here is Hillary Clinton who shredded classified documents, wiped her computers clean with a bleach program and all the while the FBI had subpeoned these records…yet this witch is walking around free and clear and no one want to investigate her….maybe because they would be murdered like so many they have murdered along the way. Seems there is a rule of law for some and no rule of law for others. Our government needs replacing…..the slimy swamp creatures need to be removed permanently.

1 year ago
Reply to  Wanda

Yes, government and everyone in it must be accountable and transparent to who they work for – We the People.
Quite disturbing that washington does whatever they want despite its clear destruction of OUR Country.
Worse yet, NONE of the law breaking,corrupt and self serving politicians EVER face the consequences!!
No way taxpayers should provide lawyers to these criminals at our expense,no way should politicians exempt themselves from any laws that are passed.

1 year ago
Reply to  Garye

There was only 1 last thing to do for the dim’s. Make it impossible for us to throw them out.. So… What to do ? Cheat the system to get your guy elected, and then pass laws on making your cheating, the law of the land. And watch as some so called american’s defend everything you do… Perfect

Victoria Johnson
1 year ago
Reply to  Wanda

Hillary has been exonerated of all wrong-doing and Hunter Biden, the grifter, child molester, self-admitted drug addict, tax dodger, perjurist, and all around sleazeball is teaching a course at Tulane U.
Merrick Garland, the new Attny. Gen of the Dept. of (in)Justice, has clearly and unambiguously stated that his agency will be investigating and prosecuting ONLY Trump supporters and conservatives, ‘the most dangerous terrorists this nation faces’. He will not have the time or personnel to pursue any other “crimes”. He has the list of ‘perps’ (many provided by the Southern Poverty Law Center) and just needs to find the crimes to charge them with.

1 year ago

Fraud with a democratic run program? Nah I don’t believe. Can’t be so.

Katja Kirsch
1 year ago

I am just shocked. NOT. Some of our own government people are involved in some form of scamming.

1 year ago

This is disgusting.

Joe from Las Vegas Nevada
1 year ago

Of course, because you did not have to show any I.D. to participate in the PPP, you just file, and they send the $$$. If they made you show I.D., that would be Racist!!!!!!! :)

Ray Paradee
1 year ago

that 63 billion could have helped our veterans a lot

1 year ago
Reply to  Ray Paradee

Or law enforcement to take care of the anarchy going on caused by most of those people who are in our White House right now

Sue Scott
1 year ago
Reply to  Ray Paradee

Homeless Vetran camp in Phoenix, while Taxpayers Money pays for Hotels and Services for illegals!
Grand Theft of Taxpayers Money!!!

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