RE: ‘PAYOUTS TO PRISONERS, DEAD PEOPLE’
The DDN article “Audit: Payouts to prisoners, dead people among $3.8 billion in improper unemployment payments” is linked prominently on Ohio Auditor of State Keith Faber’s website.
The audit report includes precisely counted findings, such as 141,617 instances where payment was sent to a name that was reported deceased, and 8,703 instances where an individual was paid more than $35,000.
“It’s appalling,” Faber said about the $3.8 billion in improper payments. Important information is missing from the story linked on his website:
■ When expanded unemployment payments were first announced in 2020, what steps did Faber take to recommend, help implement, and ensure adequate internal controls and systems were put in place to prevent billions in overpayments?
■ Was Faber aware early on that Ohio had “an outdated system unprepared for such a huge surge of applications, lack of controls over new pandemic-related programs, relaxed verification requirements not requiring information from employers”, and lacked ability to deal with overpayments quickly? If Faber knew, what did he do about it? If not, why didn’t he know?
■ Does Faber view his responsibility as Ohio Auditor of State merely to report failures of internal controls in state agencies after the fact, or to proactively ensure controls are in place to prevent future losses? Unlike Faber, internal and external auditors of businesses with billions in fraudulent overpayments occurring during their tenure don’t crow to the media. They have to find new jobs. Stories of government waste follow a pattern:
■ Big losses reported (caused by external forces, inadequate systems, or lack of funding, but rarely by individual staff negligence).
■ After the loss is reported by media, but not before, blue-ribbon panel of experts hired to investigate and fix it.
■ 18 months later, auditing agency provides impressive, comprehensive audit report detailing what happened.
This pattern is similar to to-be-continued TV episodes of Law and Order, except the responsible government officials are rarely named, charged, or fired.
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