Posts Tagged ‘kickbacks’

Flu Manchu Fraudapalooza

Sunday, November 24th, 2024

Flu Manchu lockdowns bankrupted numerous American businesses (restaurants were particularly hard hit), but the firehose of taxpayer money the feds turned on also made a whole lot of people rich, including several fraud artists.

Some are being brought to justice.

First up: Rapper NBA YoungBoy pleads guilty in Utah prescription drug fraud ring.

A Louisiana-based rap artist pleaded guilty Monday to his role in a large-scale prescription drug fraud ring that operated out of his multimillion-dollar home in Utah.

Rapper NBA YoungBoy, whose real name is Kentrell Gaulden, walked into a courtroom in Logan, Utah, with his head hung low as he entered the plea for his part in the alleged scheme, KTVX-TV reported.

The 25-year-old rapper was originally charged in the Logan District Court with 46 charges related to the alleged crime. On Monday, he pleaded guilty to two counts of third-degree felony identity fraud, two counts of third-degree felony forgery and six counts of misdemeanor unlawful pharmacy conduct. Gaulden entered a “no contest” plea to the remaining charges.

As part of a plea deal, Gaulden will not serve prison time in Utah. Instead, his four felony charges were reduced to Class A Misdemeanors and he was ordered to pay a $25,000 fine, the television station reported.

District Judge Spencer Walsh agreed to suspend a prison sentence as Gaulden is expected to serve a “substantial” 27 months in federal prison for related charges in a case stemming out of Weber County, Utah. Following his release, Gaulden will then be placed on five years of federal supervised probation.

(Hat tip: Dwight.)

Closer to home, another Harris County official was indicted for fraud that involved a coronavirus testing program.

Former Harris County Public Health Executive Director Barbie Robinson has been charged with felony misuse of official information in what may have been yet another bid-rigging scheme coordinated with county contractors.

Fired from her post last September, Robinson allegedly used her private email to coordinate with International Business Machines Corporation (IBM) officials regarding a $31 million contract to craft a social services program called Accessing Coordinated Care and Empowering Self Sufficiency (ACCESS) that the company would later bid to provide.

Last week Robinson was charged with misuse of official information, a third-degree felony which carries a possible sentence of two to 10 years in jail and fines of up to $10,000.

Before working for Harris County, Robinson had previously served as the director of the Sonoma County Department of Health Services where she also worked with IBM to create a nearly identical ACCESS program to coordinate county services for low-income residents.

According to emails obtained by the Texas Rangers, Robinson appears to have exchanged emails with IBM officials shortly after she was hired by Harris County in the spring of 2021. Communications included discussion of “sole-source” contracts that might be exempted from competitive bids.

In July 2021, the county paid IBM $45,000 to put on a workshop to discuss creation of an ACCESS-style program, and in early November 2021 Robinson continued to use her personal email to coordinate with IBM to craft a scope of work document in the weeks and days before the county issued a public request for proposals.

Robinson came under fire earlier this year for communications surrounding a $6 million contract awarded to DEMA, a California-based company, to run Harris County’s Holistic Assistance Response Teams (HART).

According to scoring documents obtained by the Houston Chronicle, DEMA won the contract for HART services by a fraction of a point over The Harris Center for Mental Health and Intellectual and Developmental Disabilities, a state-funded agency with experience in responding to 911 calls. DEMA’s overall score was 72.88, while the Harris Center earned 72.5. Robinson awarded DEMA 70.5 out of 100 points compared to 66.5 for the Harris Center, and she and other evaluators awarded points to DEMA for a list of references.

DEMA was awarded more than $26 million in no-bid contracts in Sonoma County but lost the contracts after a 2023 investigation by The Press Democrat found billing of at least $800,000 for non-existent positions.

Early in 2021, Robinson had been instrumental in bringing DEMA to operate COVID-19 testing sites in Harris County. In a September 2021 email, DEMA CEO Michelle Patino offered her a contract for legal consulting, even though Robinson is not a practicing attorney.

Last June a Harris County auditor’s report found that nine invoices had position titles and rates that were not supported by the contract, that DEMA was not registered to conduct business in Texas when the contract was executed, and that the company did not have required insurance coverage.

In response to a Texas Public Information Act request from The Texan for scoring documents related to the IBM contract for ACCESS Harris County, the county attorney’s office appealed to the Texas Office of the Attorney General for an exemption.

Earlier this year, The Texan learned that in January 2024, Robinson also contracted with Yuba County, California to provide services for a three-year period. Robinson’s work for Yuba County’s public health department provided her with nearly $200,000 in compensation for hundreds of hours of work, all while managing Harris County’s public health department.

In response to the indictment, Harris County Judge Lina Hidalgo accused District Attorney Kim Ogg of “weaponizing” the district attorney’s office and claimed that Ogg simply did not like the successful program created by Robinson.

It seems like Democratic activists view every government program as a potential source of graft to line their pockets with, and Flu Manchu funds were passed so quickly and with such little oversight that they provided especially tempting targets for the usual suspects to stick in their snouts.

Hopefully unsupervised barrels of money like this are going to be on DOGE’s chopping block in the incoming Trump Administration.

“NYC’s Homeless Problem Is A Giant Scam!”

Wednesday, October 27th, 2021

Tying into my post on homelessness being a profit center for the Democratic Party, here’s a Louis Rossmann video that discusses a homeless shelter in New York City that:

  1. Bills the government $3,500 to $4,000 a month to
  2. House the homeless in a literal shithole (with visible feces in one picture of the place), and
  3. By an amazing coincidence, is run by a non-profit founded by Andrew Cuomo and now run by his sister Maria Cuomo Cole.

(I think that this is the news story he reads from at some point.)

“The top executives of Help USA earn $200,000 to $375,000 a year, and many of them have contributed heavily to NY Gov. Cuomo’s campaigns.”

“Board members associated with various homeless shelters have gifted the governor $322,972.50, while donors associated with Help USA, a shelter service provider founded by the governor and chaired by his sister, Maria Cuomo Cole, have ponied up $451,285 in donations.”

Thirty five hundred to four thousand dollars per month per individual for people to stay in shitholes like this. This is being done so that the people who run these charities can pay themselves insane amounts of money and get away with it. And the reason that it continues to happen is because of the incestuous relationship that exists between many of the people who run this not-for-profit, and the people that run the state and city government.

“This is an incestuous and disgusting relationship.”

He proposes a voucher system instead that, while it would be an improvement, A.) Is inferior to actually letting the free market build free housing, something New York (city and state) actively implements legislation to prevent, and B.) Would never be passed, because government homeless programs exist to transfer money from taxpayers to Democrats. That, not helping the homeless, is their primary purpose.

Evidently you can’t go a day without another John Murtha corruption story

Thursday, January 7th, 2010

Today’s Rep. John Murtha (D-ollars)-related corruption story involves outright kickbacks from Kuchera Defense Systems Inc.:

A defense contractor with ties to Rep. John Murtha has been suspended again from bidding on government contracts, this time for paying more than $200,000 in kickbacks to another contractor turned government witness.

If you look at that CREW chart I linked to yesterday, you’ll see that Kuchera Defense Systems Inc. is part of the circle of corruption (one of several circles of corruption on that chart) for the Ervin Technical Associates lobbying firm. And which Ervin would they be technical associates of? That would be Jim Ervin, who you may remember from yesterday’s post about PharmAthene, the company to which the Obama Administration (personified by Tara O’Toole, another Murtha friend) awarded a no-bid contract for anthrax vaccines. And needless to say, just about everyone associated with Kuchera Defense Systems are heavy Murtha campaign contributors. (So many backs to scratch, and so many taxpayer dollars needed to scratch them.)

Bonus: Owner Bill Kuchera is a convicted drug dealer.