Thursday, December 29, 2005

49 Charged In Katrina Fraud Scam
FRESNO, Calif.,
Dec. 28, 2005

AP) Forty-nine people have been indicted in a scheme that bilked thousands of dollars from a Red Cross fund designated for Hurricane Katrina victims, federal authorities said.

At least 14 suspects worked at a Red Cross call center in Bakersfield and are accused of helping family and friends file false claims for aid money, said Mary Wenger, a spokeswoman for U.S. Attorney McGregor Scott in Sacramento. Six have pleaded guilty to federal wire fraud charges, she said.

The fake claims drained at least $200,000 from the fund, with an average payout of about $1,000, Red Cross spokeswoman Devorah Goldburg said. The total could rise as the investigation continues.
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Tourism twist in New Orleans: hurricane tours
Storm damage becoming a major attraction; could help restore lost dollars
By Ron Mott
Correspondent
NBC News
Updated: 6:25 p.m. ET Dec. 28, 2005

NEW ORLEANS, La. - Hurricane Katrina left New Orleans bruised and battered, sweeping away billions of dollars of potential tourism business. But like the city, the tourism industry is on the mend. Visitors are returning to New Orleans in bigger numbers, and they aren’t just going for the nightlife on Bourbon Street: One of the biggest attractions is storm damage.
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