Lawmakers ask for investigation on alleged redirection of COVID-19 funds
Two Democratic associates of the Senate and Property Armed Companies Committees are formally requesting that the Division of Defense Inspector Basic investigate reviews that the Pentagon redirected hundreds of thousands and thousands of pounds intended for COVID-19 reaction to defense contractors for “jet motor components, system armor and costume uniforms,” in accordance to the letter.
United States Senator Elizabeth Warren, (D-Mass.), a member of the Senate Armed Companies Committee and Rep. Ro Khanna (D-Calif.), a member of the Property Armed Companies and Oversight and Reform Committees, sent the letter dated September twenty five to Sean O’Donnell, Performing Inspector Basic, Division of Defense.
They requested O’Donnell to investigate reviews that the Pentagon redirected money from the Defense Manufacturing Act intended for COVID-19 reaction to defense contractors for unrelated components and products, a shift that could be unlawful, the lawmakers explained.
Congress allocated $1 billion in money beneath the Coronavirus, Support, Relief, and Financial Safety Act for DoD to manufacture individual protecting products and other materials.
Not only did DoD reportedly redirect the extensive bulk of these money to defense contractors for projects unrelated to combating the pandemic, some defense companies successfully been given a double bailout due to the fact authorities details exhibits they also been given loans by the Paycheck Defense Method, a relief method intended for having difficulties small enterprises, in accordance to the letter.
WHY THIS MATTERS
During the pandemic, numerous companies have dealt with shortages of individual security products and negative margins.
Providers have been given $50 billion and much more in targeted relief from the $one hundred billion appropriation in the CARES Act and $seventy five billion from the Paycheck Defense Method.
Hospitals also been given accelerated and progress money, which are loans they are needed to fork out again. Several companies continue to facial area large income shortfalls because of to COVID-19.
States need $six billion to distribute COVID-19 vaccines to People and hospitals continue to endure a lack of N95 masks, the letter states, indicating the money that went to the DoD are required somewhere else.
THE Larger sized Trend
The lawmakers foundation their ask for, at the very least in component, on newspaper reviews showing that an overwhelming bulk of money experienced nothing at all to do with generation of healthcare products or addressing the nation’s offer shortages because of to the COVID-ten pandemic.
Warren and colleagues beforehand questioned the DoD on what Warren explained was its gradual and disjointed reaction to the coronavirus outbreak.
ON THE Record
“Alternatively of addressing the urgent desires of a pandemic that has killed above 200,000 People, it appears DoD used taxpayer money intended to shield lives from COVID-19 to pad the pockets of defense contractors,” wrote the lawmakers. “The described misuse by DoD of federal money … is inconsistent with the will of Congress and may be unlawful.”
Twitter: @SusanJMorse
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