RED CROSS FRAUD

Forty-nine people have been indicted for trying to steal money from a Red Cross program set up to help victims of Hurricane Katrina, reports The Washington Post. Seventeen of those people worked for a company the Red Cross hired to operate a claim center in Bakersfield, Calif., and were accused of claiming payments for themselves and for friends and family members as part of the charity’s $1.3-billion cash-assistance program. Red Cross officials said that the amount stolen was a tiny fraction of the program’s total budget and that they are seeking restitution. The charity is also testing new ways to operate cash-assistance programs that will be more secure.