The Justice Department has charged 48 people in Minnesota for stealing $240m from anti-hunger pandemic programmes for children. Earlier this year, we looked at how vast sums of pandemic stimulus money had fallen into the wrong hands
Save time by listening to our audio articles as you multitaskAs countries scale back unparalleled emergency-relief programmes there is growing interest in where the funds went. Theestimates that since January 2020 governments have doled out $15.5trn in non-health-care spending and loans in response to the covid-19 pandemic. The rush to support households and firms led to poor procurement, messy programmes and inadequate oversight.
Spending in America was larger—and so was the waste. The Secret Service reckons $100bn has been stolen from the $2.2trnAct. If pre-pandemic fraud levels were sustained, at least $87bn in unemployment insurance—which got a budgetary bump during the pandemic—would have been captured by crooks. Auditors reckon the true fraud rate is much higher.
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