A small repayment has been made in the DHS scandal. Anna Wolfe - yes, the Anna Wolfe - reported in Mississippi Today last week:
More than two years into the litigation, the state of Mississippi has agreed to settle with eight defendants in the ongoing welfare fraud civil case for a total of about $750,000. That’s roughly half as much as the state has spent on legal fees in the case so far. The eight defendants, who allegedly illegally received or were liable for the misspending of a total of $1.7 million, did not admit to wrongdoing. Their settlements represent some of the smaller components of the overall welfare fraud scheme. The future repayments amount to less than 1% of the total $79 million in federal welfare funds that Mississippi Department of Human Services’ lawsuit claims were lost to malfeasance.The defendants, date and amount of settlement, and total alleged damages are as follows:
- Chase Computer Services, August 2024, $1,000 out of $375,750
- Southtec, August 2024, $10,000 out of $19,000
- Lobaki, April 2024, $300,000 out of $795,000
- Williams, Weiss, Hester & Company, April 2024, $220,000 out of an undetermined amount
- William Longwitz and Inside Capitol, March 2024, $318,325 out of $318,325
- Rise Luxury Rehab, October 2023, $105,000 out of $160,000
- Warren Washington Issaquena Sharkey Community Action Agency, January 2023, $49,190.06 out of $49,190.06
Kingfish note: Check out the headline the editors gave the story.
Even if the eight defendants had settled for the full amount owed, the settlements would have been a grand whopping 2% of the $79 million owed by all defendants. Frankly, it will be a surprise if the state recovers even 50% of the funds lost to the Davis-New scheme.
26 comments:
This is embarrassing-
Some special people received a blessing, others...not so much. Crime pays, especially in the land of good old boys.
https://kingfish1935.blogspot.com/2016/11/longwitz-seeks-return-to-bench.html
Former State Senator and Madison County Judge
I don’t see any issue with the headline or the reporting. The state isn’t going to get out of this unscathed and it shouldn’t. The people representing the state stole from the federal government. Those responsible should be put in prison and whatever debt they owed should be taken from them. The buck stops with Phil Bryant. If Phil wasn’t the quarterback of this fraud scheme, Brett Favre and friends never would have gotten selected to the team. Send the whole team to prison.
The feds just need to take this one fraud at a time. They know that the leader of the rival team, Phil Bryant leaves it all on the ledgers. He’s the big man on campus, all the girls want to hang out with him and all the guys want to get him to sign their phony invoices. He’s not physically or academically gifted, but he’s gritty and fraud-smart. This thing isn’t over till the final gavel drops, but the feds have got to pull this one out and win one for Uncle Sam.
Who with the State of Mississippi agreed to the settlement?
I thought this was just a “USM and Nancy + Phil + Favre” thing? Why do most of these companies have ties to Ole Miss and Tupelo? Hmmm. I think there might be more to the story.
The most massive welfare frauds ain't coming from po' black folks. It is coming from the former Gov and his wealthy buddies. Same with every state. The big welfare cheats are corporation and politicians.
It’s amazing how often Longwitz and/or Stacey Pickering pop up in GOP shenanigans.
Yes, the Bruce Dickinson
If they are not careful, they will create a new scandal in the amount of money spent on litigating this. Sometimes you have to call it a day and move on.
Embarrassing is an understatement. Meanwhile Katie Pickett at Jones Walker is racking up the attorney’s fees. Kingfish, how about a story on how much Jones Walker has made on this cash cow for them?
Crime can be profitable here.
Here's how it works: A company or group that is socially or politically well connected, gets federal or state money they should not have received.
IF they are not stupid, they will invest this money in treasury bills or money market funds or 6 month CD's and be more than happy to return the entire amount if caught. They will , of course keep the profits.
Mississippi has always been dependent on the federal government and make no mistake we would not have national grocery stores or drug stores without federal funds.
135000 receive Social Security disability checks and 681,219 Mississippians receive Social Security.
Those folks buy groceries and make purchases and strangely don't believe they are dependent on the government.
Add to that the people whose jobs depend on government contracts in MS and government money for infrastructure and we are really shooting ourselves in the foot to want to do away with government spending.
It's not just " slum lords" whose wealth came from winning federal government contracts or receiving federal subsidies.
Last year alone, MDOT got $1.5 BILLION in earmarked funds.
The money to help the "poor" is a pittance in comparison.
11:14 is following the real story here: "Mississippi Department of Human Services has paid Jones Walker, the law firm bringing the litigation, nearly $1.5 million in TANF funds since 2022, according to the state’s public accounting database."
We (taxpayers) have paid these overpriced lawyers more than they have recovered. Sad!
Phil Bryant is a first ballot Hall of Shamer.
It’s amazing that DHS and the Feds had little oversight on the management of these Federal Grants. The Code of Federal Regulations (CFR) adopted from Public Law outlined eligibility & management of TANF. How the Feds, DHS & State Auditor missed the misspending for so long is beyond my comprehension. Quarterly reports, if submitted & properly reviewed by DHS & the Feds should have put a quick end to the criminal activities that took place over many years.
Is there no blood in any of these turnip defendants?
We have a State Auditor? That little fish catching even smaller fish!!!! He’ll get eaten if he goes after bigger fish.
9:19 AM
That includes Jackson by the way
Chase Computer Services damn-sure skated.
To the reader whose comment about another subject I just now did not approve: Sit tight. You will not be disappointed.
The drama is thick with this one.
Well I hope it's "you know who!
If I recall the contract with Jones Walker had a cap on the amount of attorney fees that would be paid.
Well, if it true that they’ve already been paid nearly $1.5 million, the the cap was certainly too high.
All state legal services contracts have to have a cap. According to the Mississippi Transparency website, Jones Walker has been paid a little over $1.5 million to date. The contracts specify that Jones Walker is capped at around $2.4 million until the end of the year when the contract expires. When it’s renewed, it will be even higher. I assure you that Katie Pickett nor anyone else with Jones Walker is going to work under a hard cap. They are bleeding the taxpayers dry, and they are going to continue to do so. The taxpayers will end up paying some ridiculous amount of money to recover Pennie’s on the dollar. In the end, Katie Pickett and Jones Walker will be the only ones who come out ahead.
Post a Comment