USDA B&I Loan $7.5 million Approved for Former WorldCom Exec Convicted of Fraud
USDA B&I Loan $7.5 million Approved for Former WorldCom Exec Convicted of FraudWe highly respect the USDA B&I lending program's worthy goal of getting capital to rural America, but this Bloomberg story raises eyebrows.
David Myers, the former controller of WorldCom Inc., received one of the 515 loan guarantees made by the USDA rural development program under the 2009 federal economic stimulus bill. The USDA guaranteed a $7.5 million loan from a Louisiana bank, allowing Myers and his partner to finance the purchase of a home health agency. Myers plead guilty in September 2002 and served nine months in prison for helping to falsify WorldCom's company books to meet earning targets, which resulted in $11 billion in accounting fraud, the loss of over 17,000 jobs and a loss of $184.6 billion in market value. Read More at Businessweek: http://www.businessweek.com/news/2012-06-21/obama-stimulus-aids-worldcom-felon-with-health-care-loan#p1
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