Sign in to wowOwow

Enter the email address that you used when registering at wowOwow.
The password field is case sensitive. Click here if you have forgotten your password.

Please register for wowOwow

Newsletter subscriptions
Sign up to receive wowOwow's weekly newsletter and get our best picks delivered right to your inbox. Our newsletter content is hand-picked by the wowOwow editorial team and provides the top features, news, and commentary from our site. Subscribing to our newsletter is free and safe. We will never share your email or other information with a third-party without your direct consent.
By registering, you indicate that you have read and agree
with our privacy policy and terms of service.

Politics | 04/01/2009 10:30 am

In New Recession, Traditional Schemes Make a Return

By The Staff at wowOwow.com
© Shutterstock

The economy’s sinking, yes, but there’s plenty of money being dispensed in DC, where businesses have been lining up for the government’s various stimulus plans. And as the money spreads out across the land, so too does the potential for fraudsters hoping to pocket a piece, says Blake Coppotelli, a senior managing director at the Kroll private-investigation firm.

Once known for fighting corruption on Wall Street, Kroll is shifting an eye to the nation’s capitol to stop schemers from misallocating funds, Coppotelli tells Politico:

Those impacted by the economic instability who are inclined to engage in fraudulent business practices will work to secure stimulus funds by any means possible … One prime area is infrastructure projects. With the near collapse of the real-estate and construction markets, traditional fraud and rackets such as bribery, kickbacks and bid rigging, will find a wealth of opportunity in the stimulus funds.

We know this isn’t the Great Depression, but some of these schemes sound a bit like throwbacks. And unlike some trends, this return isn’t welcome.

Read more about: Bailout, Economy, Fraud, Kroll, News, Scandal

2 Reader Comments (so far…) Sign In or Register to comment

f p
The Bernie Made-offs of this world are plentiful and some are in the congress of the US with their hands out and pockets open.  Just ask any lobbyist.
By f p on 04/01/2009 11:44 am