WASHINGTON-The Federal Communications Commission’s inspector general last week warned lawmakers that a $2.25 billion government program subsidizing wireline and wireless Internet links for schools and libraries remains highly vulnerable to fraud.
“The results of audits that have been performed and allegations under investigation lead us to believe the program may be subject to a high risk of fraud, waste and abuse through noncompliance and program weakness,” said IG Walker Feaster in his semi-annual report to Congress.
Congress is investigating problems associated with the discounted education, or E-rate, Internet program. A handful of individuals have been charged by the Justice Department with illegalities-including bid rigging-in ongoing E-rate probes.
The schools and libraries program had bipartisan support when it was written into the 1996 telecom act. Despite shortcomings, policy-makers say it has succeeded in making Internet access available to students-particularly those in low income areas-across the country.
“There has been some bad actors involved in the program,” William Maher, chief of the FCC’s Wireline Competition Bureau, told reporters. “We will do everything we can to eradicate fraud, waste and abuse … It’s a successful program and we’ve got to improve it.”
