Audit: Funds To Help 400 Job Seekers Aided Only 2

DETROIT (WWJ/AP) – An audit has found that a portion of an $11 million federal grant intended to provide business attire to 400 low-income job-seekers in Detroit helped only two people.

The audit of the city’s Department of Human Services found the department failed to control the operations and finances of a boutique that was to provide clothes, the Detroit News reported. The city’s auditor general conducted the review for the period from July 2009 to September 2011.

The center, at 1970 Larned, included the Customer Choice Pantry, the New Beginnings Clothing Boutique and a call center that had the capacity to service 60,000 families in need. The boutique was to provide business attire for low-income residents for job interviews.

To receive clothing, residents were required to have a job interview scheduled. According to the audit, the DHS was supposed to help 400 people between October 2010 and September 2011 but instead served only two.

The department is under scrutiny for management of federal funds. The audit says the department didn’t safeguard grant money or create an inventory for the clothing.

A City Council committee was to discuss the audit Wednesday. An email seeking comment was sent to a spokeswoman for Mayor Dave Bing.

TM and © Copyright 2011 CBS Radio Inc. and its relevant subsidiaries. CBS RADIO and EYE Logo TM and Copyright 2011 CBS Broadcasting Inc. Used under license. All Rights Reserved. This material may not be published, broadcast, rewritten or redistributed. The Associated Press contributed to this report.

  • Brian

    What is the deal? First of all, who decided that it takes $27,500 per person ($11M/400) to buy suits? Secondly, it would not be possible to spend $5.5M per person ($11M/2) on suits so where did the money go? Why wasn’t this question raised (let alone answered) in the article? Before you send an e-mail to Mr. Bing, wouldn’t you ask the person who’s job it was to implement the program?

  • Manny

    Brian, I’m with you. How come 11M/400 to buy suits that could range in the $100 or $200, including shoes, ties, belt, etc… Should someone get arrested here for fraud? Should we see the face and names of those stealing from the tax payers? Where is the outrage?

  • snuggy bear

    pimp cane 2,000, pimp cup w/encrusted jewels 10.000,pimp suit 5,000,
    gold neckalace heavy chain 15,000,shoes 200, fur hat 200. haha only in detroit

    • rock

      NOT only in Detroit but in all of the major us cities where liberals are entrenched!!!

    • craig

      Racist! Either contribute something useful, or be silent. Detroit is at least 50% white/other ethnic.

      The amount directed at the clothing program was only PART of the 11 million as the headline says, and it actually totalled 148K…so divide THAT by 400 people and see if you think it’s still an unreasonable amount.

      • fdesanzo

        Racist,ah you must be a liberal!
        nobody said anything about skin color.
        some pimps are white.who’s the racist now!
        lighten up.angry is a disease.

  • jukin

    Well thank goodness that the government is taking over our health care and we will save 3000% on our premiums!

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