Now Confirmed: Obamacare Breeds Massive Corruption and Fraud
As we predicted last week, health law creates unprecedented wave of scammers
October 1, 2013
A non-profit organization sued by the federal government last year for fraud was awarded a $2.1 million federal contract this year to enroll Americans into Obamacare, confirming our prediction last week that widespread fraud will explode under the health law.
The New York Post reported today that an Obamacare grant recipient, Seedco, was sued by the federal government in 2012 for lying on government reports in order to receive additional bonus money.
As reported by the New York Times last year, Seedco received more than $8 million in federal grants for operating job placement centers.
According to federal prosecutors, Seedco falsely reported that it had successfully matched jobseekers with jobs by basing their claims on the positions jobseekers already had.
“By reporting thousands of fake job placements, Seedco collected ‘performance payments’ totaling perhaps as much as $1.6 million over five years,” reported Michael Powell with the New York Times.