Police in Houston find misuse of FEMA's $2,000 debit cards

On the heels of a report earlier this week that Atlanta area Katrina victims were using $2,000 debit cards to purchase luxury items like Louis Vuitton handbags, Houston police yesterday discovered the cards, provided by FEMA and the Red Cross, being used at local strip clubs.

The Houston Police Department just formed a task force to investigate the abuse of the cards, which were distributed to thousands of Katrina hurricane victims to provide for necessities, such as food, clothing and toiletries. On the first day, the police found the cards being used to buy beer while ogling exotic dancers.

According to a report by KPRC, Channel 2, in Houston, a manager at Caligula XXI Gentlemen's Club said he has seen at least one debit card used at his club. A bartender at Baby Dolls, identified only as "Abby," said she has seen many of the cards used at her establishment.

"A lot of customers have been coming in from Louisiana and they've been real happy about the $1.75 beers and they're really nice," she said.

She couldn't say for sure whether the cards she has seen were from the Red Cross or from the Federal Emergency Management Agency, but she found no fault in using federal dollars to guzzle beer at a strip club.

"You lost your whole house, then, why not?" she said "You might want some beer in a strip club. There are a lot of guys out there that like to do that."

The wife of the manager of another strip club told KPRC that her husband has seen patrons from Louisiana offering Red Cross and FEMA debit cards, but she declined to reveal the club's name.

The FEMA and Red Cross cards have few restrictions, but some evacuees have gotten into trouble when they tried to get additional cards.

Meanwhile, Houston police are going undercover as evacuees to keep their eyes on those who get in line more than once.

"There may be some individuals who use some false identifications or providing false information on the forms, so we're targeting those persons also," said Lt. Robert Manzo.

Officers handed out a warning that falsifying government documents could result in a 20-year prison sentence.

Earlier this week, the New York Daily News reported that "profiteering ghouls" were using the debit cards in luxury-goods stores as far away as Atlanta.

"We've seen three of the cards," said a senior employee of the Louis Vuitton store at the Lenox Square Mall in affluent Buckhead. "Two I'm certain have purchased; one actually asked if she could use it in the store. This has been since Saturday."

Restrictions on the cards say they can't be used to purchase alcohol, tobacco or firearms.

The clerk at the Louis Vuitton store said: "There's nothing legally that prevents us from taking it, unfortunately – other than morally, it's wrong." The unnamed employee told the Daily News two women who had made purchases with the card each bought a signature monogrammed Louis Vuitton handbag in the $800 range.

Meanwhile, in Memphis, Tenn., residents told News Channel 3 they saw Hurricane Katrina survivors purchase designer jeans, high heels and purses with their $2,000 emergency debit cards. According to the report, one Katrina victim was spotted at a Cordova clothier buying stacks of $65 designer jeans. Another viewer reported spotting a survivor buying "over $700 in high heel shoes and purses" at a Memphis department store "while (her) younger children, most of them looked under the age of 3, looked like they haven't showered in weeks."

"If they make an inappropriate decision as to what to purchase, the whole issue of victims' rights comes into play," said Bill Hildebrandt, chief executive officer of the Mid-South chapter of the Red Cross. "They have a right, I guess, to be inappropriate."

Hildebrandt conceded that the purchases could be traced, but he said if the receipts just said "shirt" or "jeans" or "clothes," there would be nothing the Red Cross could do. He said the Mid-South chapter stopped using the cards because the process became too cumbersome.

FEMA reportedly issued about 10,500 cards in the pilot program, with a total value of $20.6 million. Hildebrandt said some Red Cross chapters are still using the cards.

The cards have been a major source of confusion – and resentment – throughout the country.

On Sept. 7, after criticism about the federal government's slow response to helping the Katrina victims, the Bush administration announced that displaced families of the hurricane would receive the debit cards to spend on clothing and other immediate needs.

Two days later, FEMA scrapped the program after distributing the cards at shelters in Dallas, Houston and San Antonio, where many of the evacuees were moved. FEMA said then that no cards will be issued to victims in other states.

FEMA Director Mike Brown resigned a few days later after being sent back to Washington, D.C., and relieved of his duty as head of the federal government's hurricane efforts.

Since then, FEMA has stopped handing out the cash cards, but is now requiring evacuees in other states outside Texas to apply for cash assistance.

FEMA is still distributing $2,000 per household to victims of the hurricane, but the process has been slow. After a brief experiment with the debit cards, the agency is now directly depositing the money in bank accounts.

Hurricane victims have to register with the agency by calling an 800 number that is almost always busy. The same goes for a Red Cross fund, which has distributed $140 million thus far, determining the amount per family based on need.


http://www.worldnetdaily.com/news/ar...TICLE_ID=46361


*******

What a way to start my week..if this is true, it's very sad indeed.How can people be so stupid?

Human nature

How any men have complained that the child maintenance is used to mantain the women instead of the child

Its like mmy cousin, he owes my mum monry, domnt knwo how much, but then I see hi on ebay buying cars and mobiles. hmm? If you have money, pay off your debt, then go and pay for car and mobiles

It was always gonna be on the cards. I was gonna mention this as soon as I heard about the cards but didnt wnat to come across a certain way

Look at the amount of people who are debted up the heezy and have NOTHING to show for it whatsoever. Nothing

Human nature

These idiots should have drowned for real,they're lucky to be alive and all they can think about is prada bags? The ones with large families are really struggling on that handout.

What is wrong with some people? Why is everone so obsessed with the NO survivors......its their money....they should spend it the way they want and as they see fit.

I think the media is just on a witch hunt because of their appalling behaviour in the way they reported Katrina....trying to justify their racist reporting of the black people in NO.....idiot pests.

Yeah even though it's a minority that's doing it , it's still stupid.

Shujaa,

I'm not saying that Katrina victims have to live their lives like hobs because of their tragedy, but those cards should be spent on importnat stuff like food, clothing, homes etc, not in a strip joint and they shouldn't spend theri money on all expensive stuff. They should spend their money with in their means. Supposedly , I wonder why the Red Cross/FEMA stopped their DEBIT card programs. They said they wanted to make some changes in it, but I wonder was on of those changes had anything to do with those abuses? This is also another reason that some people are being stricton welfare/ food stamps. The sad thing abou tit is that there are some people who really need it and are not abusers but they cannot get it because of a few people dishonest actions.

Guys,

I menat to say "hobos" not "hobs"

Sorry these people are idiots, spending money money on 'clart strippers and high heeled shoes.

They'd better hope that there homes survived the flood because there's no gaurantee that they'll be getting more money in future.

A bartender at Baby Dolls, identified only as "Abby," said she has seen many of the cards used at her establishment.

"A lot of customers have been coming in from Louisiana and they've been real happy about the $1.75 beers and they're really nice," she said.


hehe

It's too funny.

Don't believe that bullshit....

I'm with Mez on this one, why is the media so obsessed with the Katrina survivors and every little thing they do?

The media has been on a non-stop campaign to demonize these people ever since the flood-gates opened up.




First they claimed they were looting and shooting at the Red Cross.


Then they claimed they were raping, murdering, and pillaging up in the Superdome.
*I still trying to figure out who told them all that seeing as how all the power and communications were cut in the city.


Then they said all of the people have been contaminated and will spread disease all around the country.


They're saying the little ghetto children are starting riots in the "nice safe"Houston public schools.


Now they claim everybody is wasting thier money on dope and titty-bars.



One of the biggest lies is that everyone is getting $2,0000 in aid.

$2,000 is just the LIMIT of what FEMA is offering, but some are getting as little as $350 depending on the size of thier family.

The average person only got $500 - $700 dollars after losing everything.

The White "news" Media has and will always portray us N*ggertivly.
It enforces the illusion we are brutes and reduced.
Along with their music/television channels which we pay money for(MTV*) encouraging a
numbskull lifestyle.
Their newsprint which still portrays Mother Africa as savage,aimless and worthless, in order to make us think negativly of Her as not go to Her.

All to oppress us and all force against us

* MTV would not play anything by black artists in the Eighties, Look at what THEY choose to play nowadays.



Indoctrination people. Turn off that TV.
Pick up a book in the spirit of Garvey.