Tag Archives: Mobile

Fraud and waste in government’s program to distribute “free” cell phones

From CBS Atlanta. (H/T Wes)

Excerpt:

Georgians pay the federal government more than $262 million a year in mandatory universal service charges. That’s the hidden fee you pay on your cell phone bill every single month.

That fund is supposed to help the government pay for free phones for the poor.

But CBS Atlanta News found multiple phones being given away to people who already had a free phone, and to people who don’t need them or even want them. And the more phones these companies give away, the more money you pay.

[…]”Get your free government cell phones today, sign up today, get your free phone today,” a Life Wireless contractor yelled out the door of his car.

The pitch the salesman is making is for people to get something for nothing – a free cell phone. In some cases, they receive the phones whether they need them or not.

“I signed up for two already, I got like two of them,” one woman said.

The woman was in line to get her third free phone. In some cases, the people lining up for free phones admitted they already had three or four government-supported phones.

[…]But the bigger problem is that the FCC has no database where companies can check if a person has received one, two, three or even four cell phones from various companies. All someone has to do is show they are on government assistance, show their I.D. and they can get a free phone.

This is nothing but wealth distribution – an effort to equalize life outcomes for all regardless of prudence, thrift and hard work.