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land's U.S. Senators Call for Flood Program Probe

October 25, 2004

Amid allegations of fraud, missing and wrongly moved federal funds and a

cover-up by the Inspector General's Office, U.S. Senators Barbara Mikulski and

Sarbanes, both Democrats from land, have called for a Department of

Justice investigation into the Federal Emergency Management Agency (FEMA).

The senators also have requested Homeland Security Secretary Tom Ridge to

step in and personally oversee problems with the agency.

The charges stem from information reported by government whistleblowers and a

retired fraud detection expert, according to Mikulski and Sarbanes. In a

sworn statement from a law enforcement officer, Counsel to Inspector General

Kent Ervin reportedly was heard to say internal documents containing

information regarding wrongdoing on the part of his agency needed to be

returned,

with all copies destroyed and there is no desire to investigate the

wrongdoing.

Witnesses report the call included a litany of alleged efforts by IG agents

to intimidate witnesses and cover up wrongdoing within FEMA. The call was also

videotaped by CBS television.

FEMA's National Flood Insurance Program (NFIP) has come under scrutiny since

thousands of Hurricane Isabel flood victims filed complains an]bout claims

and some remain living in campers more than a year after the loss. In March the

U.S. Senate took the unprecedented step of directing FEMA's NFIP to reopen

24,000 flood claims and conduct an independent review - the largest such event

in FEMA's history.

In the following months, the Baltimore County Executive T. , a

former Circuit Court Judge, called for the U.S. Attorney to investigate whether

Computer Sciences Corporation, the corporation responsible for carrying out

the day-to-day functions of the NFIP, was " thwarting " the efforts of Isabel

victims to receive fair settlements. In April Senator Mikulski called for the

IG to investigate. In June, President W. Bush signed into law the

reauthorization of the Flood Insurance Act with a call for the General

Accounting

Office (GAO) to investigate. The GAO investigation is due to be completed by

June.

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