Prosecutors Watching For Stimulus Fund Fraud

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(Sacramento, CA)
Thursday, August 20, 2009
“Forget about it. We are watching, we are paying attention, we’re on the lookout and we will bring you to justice.”

Laura Chick was appointed by Governor Schwarzenegger to carefully track the more than $50 billion from the American Recovery and Reinvestment Act.

She says an estimated 7%-10% of that money could be misused…such as kickback schemes, bid rigging, padded contracts and eligibility fraud.

“We’re in hard financial times. There are greedy people out there and it’s time for government to show hard working taxpayers that we know how to watch and how to spend their money correctly.” 

Chick was joined in Sacramento Thursday by county and federal prosecutors from across California. She says people who commit fraud could face up to 30 years in federal prison.