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Mississippi welfare scandal: Luxury cars among $94M in questionable spending, audit shows
More than $94 million in welfare money spending was "questioned" by auditors, according to the report alleging either outright misspending or lack of documentation showing it was spent properly.
In a statement, White said the report "shows the most egregious misspending my staff have seen in their careers at the Office of the State Auditor." He said, "If there was a way to misspend money, it seems DHS leadership or their grantees thought of it and tried it."
Among the audit's "questioned" spending:
The two nonprofit groups used welfare money to hire lobbyists, often without paperwork describing the work they were supposed to do.
MCEC gave contracts to, and hired, family members of Davis, sometimes making lump sum payments. The payments and salaries to his nephew and brother-in-law totaled more than $1 million over the past several years, auditors said.
Both nonprofit groups gave welfare money to a trio of wrestlers, Ted DiBiase, Ted DiBiase, Jr. and Brett DiBiase some of it for work never performed, some for "unreasonable" travel costs.
MCEC paid Victory Sports Foundation with welfare money to run fitness programs, some of which Mississippi legislators and other officials or staffers participated in, free of charge. The trainer who runs Victory, said he did not know he received welfare money.
MCEC bought three cars with welfare money, each worth more than $50,000, for New and two sons. Salaries, cellphones and other expenses were paid using welfare money. The vehicles included a 2018 Nissan Armada, a Chevrolet Silverado and a Ford F-250. In each case, the vehicle was registered to MCEC, but in each case, auditors said the vehicles were for personal use.
MCEC used welfare money for sports-related purposes, including sponsoring a college baseball tournament and other NCAA events.
MCEC cut a $3,000 check to a bookkeeper of MCEC, though a handwritten note says "$3,000 cash was given to" Davis, the DHS executive director.
MCEC moved $6 million to a private school and organization run by New and bought supplies for the school.
https://www.usatoday.com/story/news/politics/2020/05/04/mississippi-welfare-scandal-audit-shows-94-million-questionable-spending/3080541001/?fbclid=IwAR1xSZ6OEUs4U466f_Mh_Y3rm4ftq_Axh5nsOT5venv8ehx1kbLqySqTkqc
OneBro
(1,159 posts)And since Mississippi is a welfare state that takes in significantly more than it pays in federal dollars, this is more aptly described as New York taxes at work.
Great point.
Got to change my headline.