On January 18th of this year, CNS News reported an a Government Accountability Office (GAO) audit that stated:
"nearly 41 percent of all federal purchase card transactions from July 1, 2005 through June 30, 2006, failed basic control checks" and the presentation includes case studies where a "U.S. Postal Service employee spent $1,100 on Internet dating services over a 15-month period" and "$13,000 - Dinner and alcohol for 81 at Ruth's Chris".
If you follow the above link to the article, there is a link in the article to the powerpoint presentation about the fraud in government credit card use. As we debate cutting government spending, it is interesting to note that the Federal Purchase Card Program went from less than $1 billion in 1994 to more than $19 billion in 2009. Since there is a strong possibility that 41 percent of that money was not legitimately spent, that might be a really good place to start cutting the federal budget.
The article at CNS News lists a few of the credit card abuses (totaling about $5,350):
- Erotica Products ('Condoms to Go', 'Pleasure Zone')
- Girls Gone Wild videos ('GGW Videos')
- 1- week Caribbean vacation ('Vacation Express')
- Five season football tickets ('New Orleans Saints')"
I guess Saints tickets are cheap. I live in New England--Patriots tickets are not!
The article further lists some of the expenditures:
"The reports also reveal additional federal debit card use for $600 at a Texas gentlemen's club, $3,700 worth of purchases at a jewelry store, $400 at a massage parlor and $450 dollars for an arm tattoo."
This might be a really good place to begin cutting the federal budget--better control of the debit cards!
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