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Stimulus Fraud

Recorded on November 2, 2011

From The Heritage Foundation, I'm Ernest Istook.

Remember the failed stimulus package, where the last Congress spent almost a trillion dollars, much of it on supposedly shovel-ready projects.

Now an inspector general's report says over 100 criminal investigations are underway into misuse of that money. And that's just from the Department of Energy's share of that cash; even more probes are underway in other Cabinet-level departments.

The Inspector General reports that very few shovel-ready projects ever existed. But the pile of money was so huge that it sparked a number of schemes and false information to grab a piece of the cash.

Even supposedly simple tasks—like weather-proofing homes-- resulted in poor quality work. The inspectors checked a sampling of weatherization work, and found the majority was shoddy.

The whole stimulus plan was substandard. Investigations will take years, but it will take even longer to pay back the billions that were borrowed—and wasted.

From The Heritage Foundation, I'm Ernest Istook.