Jutta Leerdam’s viral Olympic sports bra flash could earn Dutch speedskating star $1 million

Rhode Island shooter Robert Dorgan's gender identity source of past family conflict: Report

WARMINGTON: Deserving Don Cherry named to Order of Ontario

California surfing legend Kurt Van Dyke slain, girlfriend zip-tied in Costa Rica

Kawhi Leonard causes stir with Raptors comments at NBA all-star weekend

Share this Story : Toronto Sun Copy Link Email X Reddit Pinterest LinkedIn Tumblr

STOSSEL: Where was the incentive to stop fraud in Minneapolis?

Government agencies rarely check whether their handouts go to the right people

You can save this article by registering for free here. Or sign-in if you have an account.

Americans want to help people in need, but when the government does that, about $500 billion in taxpayer money gets stolen.

Subscribe now to read the latest news in your city and across Canada.

Unlimited online access to articles from across Canada with one account.

Get exclusive access to the Toronto Sun ePaper, an electronic replica of the print edition that you can share, download and comment on.

Enjoy insights and behind-the-scenes analysis from our award-winning journalists.

Support local journalists and the next generation of journalists.

Daily puzzles including the New York Times Crossword.

Subscribe now to read the latest news in your city and across Canada.

Unlimited online access to articles from across Canada with one account.

Get exclusive access to the Toronto Sun ePaper, an electronic replica of the print edition that you can share, download and comment on.

Enjoy insights and behind-the-scenes analysis from our award-winning journalists.

Support local journalists and the next generation of journalists.

Daily puzzles including the New York Times Crossword.

Create an account or sign in to continue with your reading experience.

Access articles from across Canada with one account.

Share your thoughts and join the conversation in the comments.

Enjoy additional articles per month.

Get email updates from your favourite authors.

Create an account or sign in to continue with your reading experience.

Access articles from across Canada with one account

Share your thoughts and join the conversation in the comments

Enjoy additional articles per month

Get email updates from your favourite authors

Don't have an account? Create Account

It’s how the system is designed, said the United Council on Welfare Fraud’s Andrew McClenahan in a new video. “You’re measuring success by the amount of money you put out.”

STOSSEL: Where was the incentive to stop fraud in Minneapolis? Back to video

Because of that, government agencies rarely check whether their handouts go to the right people.

Minnesota is just the latest example. Government officials didn’t uncover that fraud — YouTuber Nick Shirley did.

I said to McClenahan, “It’s weird that a kid did what government investigators couldn’t do.”

“Articles back in 2018 talked about millions of dollars in suitcases being flown out of Minneapolis,” he replied. “But it took a 20-year-old with an iPhone to go in there and expose it on Twitter.”

Billions in welfare payments frozen

After Shirley publicized the fraud, the White House froze billions in welfare payments. Progressives didn’t like that.

“What they are doing is creating confusion, chaos, trying to intimidate people,” complained Rep. Ilhan Omar (D-Minn.). “There is no reason for them to fully stop funding these programs. The only reason they’re doing that is for PR purposes.”

Your noon-hour look at what's happening in Toronto and beyond.

There was an error, please provide a valid email address.

By signing up you consent to receive the above newsletter from Postmedia Network Inc.

A welcome email is on its way. If you don't see it, please check your junk folder.

The next issue of Your Midday Sun will soon be in your inbox.

We encountered an issue signing you up. Please try again

Interested in more newsletters? Browse here.

Minnesota’s Gov. Tim Walz was hardly better. “This is on my watch. I am accountable,” he said. But he did nothing about the fraud.

During the pandemic, U.S. President Joe Biden said, “My message to those cheats out there is this: You can’t hide. We’re going to find you.” But they didn’t.

Of the hundreds of billions stolen in 2024, the Department of Justice barely recovered $2.9 billion.

Is there nothing we can do to stop fraud?

“Sure, you can,” said McClenahan. “It takes less than a second to verify things with data connections these days.”

Government record-keeping outdated

But the government rarely uses modern data connections.

Elon Musk, when he ran the Department of Government Efficiency, complained that government records weren’t computerized. Many agencies doled money out without even saying what the money was for or where it went. He called government record-keeping a “time warp.”

“They’re relying on rules and regulations written for pen and paper,” said McClenahan.

Poor record-keeping makes fraud easier. Some people openly brag about it.

During President Donald Trump’s first term, a rapper wrote a song about stealing benefits that Trump rushed out for pandemic relief: “I gotta shout out to Donald Trump. I just might swipe me a lump sum.”

That was in California. There’s a lot of fraud there. The state gave phone subsidies to 94,000 accounts of dead people.

“Everybody knows that the United States is the easiest game in town,” said McClenahan.

‘Rang the dinner bell’ for crooks?

Some stolen funds go to alleged terrorists.

“We literally rang the dinner bell for the whole world and they answered,” he said.

“These are American programs,” I pointed out. “People in other countries aren’t eligible.”

“But if you’re not checking to see where somebody lives, where they’re applying from, who they are, you’re not going to find them,” said McClenahan.

In addition, many state politicians don’t try to find fraud. Handouts mostly come from the federal government, so local politicians reason: “People in other states pay, but my taxpayers collect. Why make a big effort to stop that?”

Trump recently gave investigators more access to state data so fraud could be better tracked. But some states don’t want to reveal that data.

“They’re actively suing the government,” complained McClenahan.

Incentives needed to fix problem

Whenever governments give handouts, it creates bad incentives.

Before our government started welfare payments, Americans were steadily lifting themselves out of poverty. When welfare cheques began, progress continued for several years, but then stopped.

Handouts have taught some people to stay dependent.

What should be done? McClenahan said to verify eligibility first. That way, you prevent fraud before money goes out. And no one should get benefits without trying to work.

“You’ve got to be looking for a job, volunteering or at least getting job training. The best welfare program is a job.”

— Every Tuesday at JohnStossel.com, Stossel posts a new video about the battle between government and freedom.

STOSSEL: Are we sexist for acknowledging differences between men and women?

STOSSEL: Government regulation means fewer houses and higher prices

Share this Story : Toronto Sun Copy Link Email X Reddit Pinterest LinkedIn Tumblr

Postmedia is committed to maintaining a lively but civil forum for discussion. Please keep comments relevant and respectful. Comments may take up to an hour to appear on the site. You will receive an email if there is a reply to your comment, an update to a thread you follow or if a user you follow comments. Visit our Community Guidelines for more information.

Jutta Leerdam’s viral Olympic sports bra flash could earn Dutch speedskating star $1 million Olympics

Jutta Leerdam’s viral Olympic sports bra flash could earn Dutch speedskating star $1 million

Rhode Island shooter Robert Dorgan's gender identity source of past family conflict: Report World

Rhode Island shooter Robert Dorgan's gender identity source of past family conflict: Report

WARMINGTON: Deserving Don Cherry named to Order of Ontario Ontario

WARMINGTON: Deserving Don Cherry named to Order of Ontario

California surfing legend Kurt Van Dyke slain, girlfriend zip-tied in Costa Rica World

California surfing legend Kurt Van Dyke slain, girlfriend zip-tied in Costa Rica

Kawhi Leonard causes stir with Raptors comments at NBA all-star weekend Toronto Raptors

Kawhi Leonard causes stir with Raptors comments at NBA all-star weekend

© Toronto Sun