Katrina fraud swamps system

0 Comments | USA TODAY, July, 2007 | by Brad Heath

Federal agents investigating widespread fraud after the Gulf Coast hurricanes in 2005 are sifting through more than 11,000 potential cases, a backlog that could take years to resolve.

Authorities have fielded so many reports of people cheating aid programs, swindling contracts and scamming charities after the hurricanes that Homeland Security inspectors, who typically police disaster aid scams, have been "swamped," says David Dugas, the U.S. attorney in Baton Rouge.

"There's definitely a backlog," says Dugas, whose office helps coordinate an anti-fraud task force formed after the hurricanes. "Right now, that means we might not get to some cases as quickly as some people might like. If there's still a backlog in two years when we start running up against the...