New York Post - EYE ON MOB 9/11 FRAUD

Wednesday July 12, 2006

From New York Post:

EYE ON MOB 9/11 FRAUD

By GEOFF EARLE

July 12, 2006 -- WASHINGTON - Heartless mob thieves and scammers made off with more than $40 million in the weeks after the Sept. 11 attacks even as the Twin Towers smoldered, a witness plans to tell a House subcommittee today.

"The first few weeks [after Sept. 11] especially, organized crime was disappearing with the debris, guys were getting paid that never showed up," said Homeland Security Chairman Rep. Peter King (R-L.I.).

Congressional investigators and auditors for the Department of Homeland Security Department will testify today about specific incidents of fraud.

Committee staff have been investigating malfeasance for several months.

But the news won't be all bad. King said that even though "phantom employees" and other crooks stole disaster-relief money, "Almost all of that was stopped after the first several weeks."

King credits NYPD forces stationed around Ground Zero during the cleanup with shutting down the stealing.

He said former Mayor Rudy Giuliani did a good job of stopping the graft.