As I sit here sipping on my coffee, reading the daily news I bump into an article about a millionaire man who just lost his job and is currently living on food stamps.
County Administrator Dave Gully says the county’s Human Services employees were upset because they recently were required to issue $500 a month in food stamps to a person who has lost their job, but has $80,000 in the bank, lives in a $300,000 house that is paid off, and drives a new Mercedes.
The family qualifies under a special federal category called “Categorical Eligibility,”
I was enraged at this and it encouraged me to dig further. While it’s rare, it does happen with state loop holes. While these people, should feel ashamed knowing they have millions collecting dust in their bank savings accounts, with the crisis our country faces today, getting worse every day, it’s a loop-hole the state needs to work out. In their defense, if you can get away with it, why not?
From 2005 to 2009, millionaires collected over $74 million in unemployment benefits, according to an estimate by Senator Tom Coburn, Republican of Oklahoma, who has paired with Senator Mark Udall, Democrat of Colorado, to push to end the practice.
According to Mr. Coburn’s office, the Internal Revenue Service reported that 2,362 millionaires collected a total of $20,799,000 in unemployment benefits in 2009; 18 people with an adjusted gross income of $10,000,000 or more received an average of $12,333 in jobless benefits for a total of $222,000. -JENNIFER STEINHAUER of the New York Times reported
The federal rule is clear, said Tom Coburn, as it states “The program is intended for households with income not exceeding 130 percent of poverty.”
Then, there is Leroy Fick, 59-year-old Michigan man who won $2M on lottery T.V. Show, Make Me Rich June 2011. With the $850,000 he took home after taxes, Fick, used his winnings to purchase a new home and a used Audi convertible. But to buy groceries, Fick, is still using his Bridge Card, Michigan’s version of food stamps. “If you’re going to try to make me feel bad, you’re not going to do it,” Fick said regarding the outrage regarding his story.
So, I dug further, and found that among America, there are an estimated 30 million receiving government assistance, and those numbers are rising more with the rapid decline of our economy.
Among those 30 million, there have been an estimated 24 percent rate of fraud including such types:
Unreported Income: By far the most common form of welfare fraud. The criminal collects a welfare check, and also receives income from other sources that they don’t report to the Government. The income may come from working “under the table”, from illegal activities such as drug sales, or any number of other sources.
Absent Parent In The Home: Another very common form of welfare fraud. This is when an individual applies for welfare as a single parent, when the other parent does in fact live in the home.
Ineligible Child Or Children: This type of welfare fraud occurs when a parent reports children who aren’t in their custody, don’t live in the home, or in some cases, don’t even exist.
False Aliases: Some people take extreme measures, going as far as creating false identities in order to make one or even multiple welfare claims.
Here are a few of the many ongoing actual cases of welfare assistance fraud:
People vs. Rachel Jennings
Grand Larceny and Welfare Fraud in the 3rd
9 Counts of Filing a False Instrument Overpayment of $16,333.00 in Public Assistance$ 9,535.00 in Food Stamps$ 7,514.99 in Medicaid for Total of
$ 33,382.99
Received an anonymous phone call stating that client was married and her husband was employed and they were not reporting it.
People vs. Nicole Richardson
Grand Larceny and Welfare Fraud in the 3rd
7 Counts of Filing a False Instrument Overpayment of $7,347.50 in Public Assistance for niece’s case $2,017.50 in Medicaid for niece’s case $3,364.19 in Medicaid for Nicole’s family $15,211.00 in Food Stamps with a Total of $27,940.19
During an audit done by R.D.S.S. it was found that client was working as a daycare provider and not reporting her income. It was also found out that the client continued to receive PA, MA and FS for a OTG case for her niece after the niece left the household.
People vs. Paul Brewer
Grand Larceny and Welfare Fraud in the 3rd
Overpayment of $3,642.34 in Medicaid $1,945.00 in Food Stamps ending with a Total of
$5,587.34
Received an anonymous phone call stating client was claiming a child was in household when she was not. It was also learned that client was receiving UIB’S and not reporting it.
In the United States in 2008-09, the Social Security Administration Office of the Inspector General (2009) received 129,495 allegations of fraud and closed 8,065 cases, with 1,486 criminal prosecutions. These activities involved over $2.9b in ‘questioned costs’; with $23.3m in recoveries, $2.8m in fines and a further $25.5m in settlements, judgement and restitution orders.
These statistics have only grown in the next two years, and will continue to grow.
Then the immigrants as by this website: http://www.asian-nation.org/population.shtml)
Racial/Ethnic Group Growth Rate, 1980-1990 Growth Rate, 1990-2000
Whites 4.09% 5.08%
Blacks 11.98% 15.26%
American Indians 35.44% 14.42%
Latinos/Hispanics 53.02% 39.42%
Asian Americans 96.13% 63.24%
Studies conducted showed the use of welfare by immigrant households as follows:
- In 2009 (based on data collected in 2010), 57 percent of households headed by an immigrant (legal and illegal) with children (under 18) used at least one welfare program, compared to 39 percent for native households with children.
- Immigrant households’ use of welfare tends to be much higher than natives for food assistance programs and Medicaid. Their use of cash and housing programs tends to be similar to native households.
- A large share of the welfare used by immigrant households with children is received on behalf of their U.S.-born children, who are American citizens. But even households with children composed entirely of immigrants (no U.S.-born children) still had a welfare use rate of 56 percent in 2009.
- Immigrant households with children used welfare programs at consistently higher rates than natives, even before the current recession. In 2001, 50 percent of all immigrant households with children used at least one welfare program, compared to 32 percent for natives.
- Households with children with the highest welfare use rates are those headed by immigrants from the Dominican Republic (82 percent), Mexico and Guatemala (75 percent), and Ecuador (70 percent). Those with the lowest use rates are from the United Kingdom (7 percent), India (19 percent), Canada (23 percent), and Korea (25 percent).
- The states where immigrant households with children have the highest welfare use rates are Arizona (62 percent); Texas, California, and New York (61 percent); Pennsylvania (59 percent); Minnesota and Oregon (56 percent); and Colorado (55 percent).
- We estimate that 52 percent of households with children headed by legal immigrants used at least one welfare program in 2009, compared to 71 percent for illegal immigrant households with children. Illegal immigrants generally receive benefits on behalf of their U.S.-born children.
- Illegal immigrant households with children primarily use food assistance and Medicaid, making almost no use of cash or housing assistance. In contrast, legal immigrant households tend to have relatively high use rates for every type of program.
- High welfare use by immigrant-headed households with children is partly explained by the low education level of many immigrants. Of households headed by an immigrant who has not graduated high school, 80 percent access the welfare system, compared to 25 percent for those headed by an immigrant who has at least a bachelor’s degree.
- An unwillingness to work is not the reason immigrant welfare use is high. The vast majority (95 percent) of immigrant households with children had at least one worker in 2009. But their low education levels mean that more than half of these working immigrant households with children still had access to the welfare system during 2009.
- If we exclude the primary refugee-sending countries, the share of immigrant households with children using at least one welfare program is still 57 percent.
- Welfare use tends to be high for both new arrivals and established residents. In 2009, 60 percent of households with children headed by an immigrant who arrived in 2000 or later used at least one welfare program; for households headed by immigrants who arrived before 2000 it was 55 percent.
- For all households (those with and without children), the use rates were 37 percent for households headed by immigrants and 22 percent for those headed by natives.
- Although most new legal immigrants are barred from using some welfare for the first five years, this provision has only a modest impact on household use rates because most immigrants have been in the United States for longer than five years; the ban only applies to some programs; some states provide welfare to new immigrants with their own money; by becoming citizens immigrants become eligible for all welfare programs; and perhaps most importantly, the U.S.-born children of immigrants (including those born to illegal immigrants) are automatically awarded American citizenship and are therefore eligible for all welfare programs at birth.
- The eight major welfare programs examined in this report are SSI (Supplemental Security Income for low-income elderly and disabled), TANF (Temporary Assistance to Needy Families), WIC (Women, Infants, and Children food program), free/reduced school lunch, food stamps (Supplemental Nutrition Assistance Program), Medicaid (health insurance for those with low incomes), public housing, and rent subsidies.
As this study included illegal immigration, this video tells more:
Which leaves us with the question, who is wrong to receive these assistance programs? The poor, the rich, legal immigrants, illegal immigrants or the liars?
While the true poor are attacked with the burden of welfare in our country, people tend to forget that there are more categories regarding this matter than the poor, including the liars, and the illegal immigrants. It isn’t the poor that are really hurting us, considering among those who have lied (going hand in hand with the illegal immigrants) they have cost us according to a 2009 study over $13M. which I can assure that number has only increased over the next two years. Yet we attack the poor, who truly try and still struggle.
With “food care,” as Limbaugh put it, the “obese” poor “buy Twinkies, Milk Duds, potato chips, six-packs of Bud, then head home to watch the NFL on one of two color TVs and turn off their cell phones, and that’s poverty in the U.S.”
I assume most are more intelligent than this man, and know you cannot purchase alcoholic beverages, or junk food on assistant programs. *Laughing at outrages statement*
January 2010 Lt. Gov. Andre Bauer of South Carolina said that “when the government helps the poor, it’s like people feeding stray animals that continually “breed.”
I think as tax paying citizens of America, with all debates and different views, we can all agree on one thing which is that the liars, illegal immigrants and criminals should not benefit from these programs in which we pay for.
However; with these loop holes they find ways to beat the system.
How can we stop this from happening?
A few ideas might be
Maybe we could have investigators, conduct an investigation, on qualified applicants, which would include random home visits, check up’s with employers and inspections prior to handing over a card.
Maybe we could for all qualified applicants, have a time limit on what those who qualify receive, such as to say, a person who just lost their job will receive said benefits for 6 months, and can continue receiving the assistance with proof of attempting to better their financial situation meeting certain (unknown) criteria.
Maybe we could conduct a background on applicants. Say you find criminal charges it’s an automatic denial until say a 5 year period when you can prove to be a law abiding citizen.
Maybe we could look at the history and birth records of children, a 23-year-old has 4 children all from different dads, applies for assistance sure, we will help, but you’re getting your tubes tied.
Sure, all these ideas cost money, but certainly not $13M in 3 years! Not to mention, in the end, it will save us money.
Look at it as if you are purchasing a television set, you have the choice of purchasing a brand name which will more than likely last longer but at a higher cost vs. purchasing a no name brand at a lower cost. You purchase the no name brand as you like its price better, and find in a year, you have to purchase another one. If you add those numbers in what you have spent, you could have just saved and bought the quality name brand, and it would probably still be working. Same here, if we spend a little more money to place rules, on receiving assistance, you will undoubtedly see in time, you will save money.
As the old saying goes, “You have to spend money, to make money”
There must be a million different ways to stop the misuse of welfare, so that those who truly and genuinely need the assistance, can receive it.
Sadly however it seems, that with the studies done that we taxpayers are supporting the criminals, the illegal immigrants and the lazy leaving those who really try with no help.
You see; those who lie and are caught abusing assistance programs generally get slapped on the hand. Those who are punished are given a state funded attorney to help them fight their case! Doe’s anyone see the irony in this!?
I personally admire the legal immigrants who come to our country and give it a fair and honest shot. It doesn’t bother me a bit to help them out in time of need, as long as the efforts are there.
I do however strongly disagree with those who come here illegally, live in a home with 5 others, sharing rent and utilities, all working under the table that send their unemployed girlfriend into the state welfare organization, to collect assistance on her and her children.
This could be put to a halt, if we did investigations prior to handing out the assistance, conducting ongoing random visits to the home and only allowing the use of assistance for a fair, and calculated time frame.
It’s this dishonesty that bothers me, as I personally know of people who try day in and day out to better their financial crisis, by working endless hours and multiple jobs and still struggle to provide for their families. All to be ridiculed and described as lazy.
It’s not fair. It’s not right. Yet, the poor are the accused.
“When you can work the minimum wage and still be poor,” said Meg Bostrom of Topos, a Washington research group, “when people don’t get paid sick leave, when jobs are scarce, and when inequality between the rich and working class grows, well, you’re making conditions for poverty. Poverty doesn’t just happen. And the hardest workers in America will continue to struggle.”
I am strong on my stance of this matter, I do not accuse the poor who try, I accuse the dishonest who abuse our system and those that don’t try; the ‘lazy’ taking advantage of our programs. I accuse the states, and regulations, who look over those who try honestly, yet blindly hand over assistance to those who are, indeed lazy, the illegals, and criminals.
It is not fair to say that the poor are the demise of our country, it’s the regulations of state programs and those who knowingly and intentionally rape the system so that really, the majority of the poor don’t stand a chance. It’s those who expect handouts for making illegitimate children by being promiscuous, those who come here illegally and work under the table that collect and those that simply lie to get handouts… these aren’t the poor, these are the lazy, and to say that the poor are lazy is an inaccurate accusation as we tend to forget who is really robbing us of our money, and the poor a standing chance.
I am curious to see your thoughts on this issue. Feel free to comment below on this matter, and tell me your point of view.

