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Shvoong Home>Society & News>News Items>New York Times Summary

New York Times

Article Summary   by:Mosimane    
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Too Generous Loan Subsidies Revealed in 2003 Memorandum

In an article written by Sam Dillon of the New York Times- million of tax payers dollars went down the drain because of tardy or inept actions by the Bush Administration. A civil servant, a Mr. Oberg, attempted to save the government money by pointing out waste. Writing to an Education Department Supervisor, i.e. Mr. Grover Whitehurst, a political appointee in November 2003, became a whistle blower over issues he considered wasteful spending of public funds. Responding to Mr. Grover Whitehurst, a supervisor emailed him the following response- `In the 18 months you have remaining, I will expect your time and talents to be directed primarily to our business of conceptualizing, competing and monitoring research grants.` Purportedly, the subsidy payments discovered by Mr. Oberg served as another part of a loan system where the Department of Education refused to respond to queries concerning its operation. Some critics contend that million of dollars disappear as a result of the lack of oversight. After the exposure and subsequent congressional hearings on this issue- the Lincoln (Nebraska) Journal Star wrote- `Taxpayers owe a tip of the hat to former Nebraskan Jon Oberg, who blew the whistle on the scheme that allowed companies to grab hundred of millions in subsidies.`
Published: May 16, 2007   
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