Justice Department cracks down on disaster fraud

In the wake of a series of powerful hurricanes, the DOJ is coming down hard on disaster fraud such as flood insurance scams

Justice Department cracks down on disaster fraud

Catastrophe & Flood

By Ryan Smith

The Justice Department has announced a campaign to crack down on disaster fraud in the wake of a series of devastating hurricanes.

“The Justice Department is committed to pursuing any fraudsters seeking to capitalize on the tragedy, and will devote the necessary resources to do so,” Deputy Attorney General Rod Rosenstein said. “It is imperative that the department is properly able to track and manage its response to claims of disaster fraud and that agencies receive timely and relevant investigative leads and other relevant information. By working together, we can ensure that federal emergency relief funds are properly distributed to those who need them most and that taxpayers are not victimized by fraudsters and other criminals.”

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The Justice Department urged people to report possible fraud to the National Center for Disaster Fraud, The Hill reported. The center has received hundreds of complaints of disaster fraud in the wake of hurricanes Harvey and Irma.

That fraud includes a number of flood-insurance scams that surfaced in the wake of Hurricane Harvey, according to The Hill. Last month the Federal Trade Commission issued a warning against such scams.

According to the FTC, homeowners in the areas impacted by the storm have received robocalls telling them their flood insurance premiums were past due and needed to be paid immediately.


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