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Taxpayer dollars paying for cell phones for the poor

POSTED: Tuesday, February 14, 2012 - 8:11am

UPDATED: Saturday, February 18, 2012 - 4:56pm

Last year along: 1.6 billion covered free phones

Last year, a federal program paid out $1.6 billion to cover free cell phones and the monthly bills of 12.5 million wireless accounts.

The program, overseen by the FCC and intended to help low-income Americans, is popular for obvious reasons, with participation rising steeply since 2008, when the government paid $772 million for phones and monthly bills.

But observers complain that the program suffers from poor oversight, in which phones go to people who don't qualify, and hundreds of thousands of those who do qualify have more than one phone.


 

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As a person with disabilities, I am extremely grateful to have a phone thru the Assurance plan. I'd like to point out that, as with any assistance program, there will be frauds and cheats...and it not just the consumers. Here is a link to an article from the Anchorage Daily News last yr re: the phone company encouraging this behavior because it was "guaranteed" money in their pocket from federal subsidies. http://www.adn.com/2011/02/22/1716460/alaska-digitel-owner-pays-16-milli...

These freeloaders should be working somewhere, not talking on the phone.

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