WVUE Local News Headlines

Lee Zurik Investigation: Booze, bingo and strippers, paid for with public assistance

Wed, 08 Feb 2012 22:31:00 -0600

Fairgrounds, liquor stores, tattoo parlors, bingo centers, casinos -- when you're hurting for money, they're some of the last places you should be spending your cash.

But the cash being spent at these places belongs to you.

Each month, the state of Louisiana gives about 7,000 families a Louisiana Purchase card. It operates exactly like a debit card -- you can swipe it at an ATM, or make a cash purchase from a register. Each month, the state loads the cards up with money. It's what most people think of as the welfare system. And after reviewing six months’ worth of records, we found many examples of potential welfare waste.

Take Wednesday, Sept. 7 of last year -- what were you doing just after midnight? At 12:04 in the morning, records show one person in the state's welfare system took $40 cash out of an ATM inside Little Darlings on Bourbon Street -- that's a strip club.

20 minutes later, the same person needed more cash and withdrew 20 additional dollars -- public dollars -- at a Bourbon Street strip club. It’s not the only example of someone removing cash at an adult nightclub.

“It would be very difficult for someone to sit there and argue why they needed to be able to go to a strip club with a welfare card,” says state Rep. Cameron Henry, representing parts of Orleans and Jefferson Parishes.

But there's more. December 1, 2010, someone used their Louisiana Purchase card at the Fair Grounds, in the early afternoon withdrawing $100 cash. A few hours later, the same person took out another $100 from their welfare card.

“It goes against the whole purpose of the welfare process,” says Henry. “You’re there because you have some serious financial needs, to be in that system, and yet you’re going to the Fair Grounds. You shouldn't have it if you are going to the Fair Grounds, to be perfectly honest with you.”

All six months we searched, we found many examples of different welfare recipients withdrawing money at the Fair Grounds.

“It's open up for abuse when you’re just handing somebody, in essence, cash,” notes U.S. Rep. Steve Scalise.

Days after this interview, Congressman Scalise co-sponsored a bill with another Louisiana representative, Charles Boustany. The bill would limit where welfare recipients can spend their cash. It passed the House 395-27 and now goes to the Senate. The bill would prevent welfare dollars from being spent at strip clubs, casinos, and bars.

We showed Scalise our findings, which include withdrawals from casinos like the Lucky Dollar Casino in Gramercy, liquor, daiquiri and cigarette stores, bingo centers, and even Tropical Isle on Bourbon.

“Ultimately the public is going to revolt and say, look we’re not going to sit by work hard in tough economic times, and watch somebody take welfare money and go blow it at a at strip club or at a casino,” Scalise says.

Congressman Cedric Richmond voted for the bill that would prevent people from spending money inside a strip club or casino.

“You just don't want public funds being used for that,” Richmond says.

Richmond tells us the bill has his support as long as tougher laws don't affect people who properly use their benefits.

“Often times, a liquor store or something like that may be the only ATM in the neighborhood,” Richmond says, “and that’s the part that becomes a little dicey… you don’t want any consequences of people not being able to access it.”
On the state level, Representative Cameron Henry says he'll introduce a similar bill. But Henry plans to take his bill a step further. He wants to prevent welfare recipients from using their cards at strip clubs, casinos, bars, and also any ATM machines.

It would prevent something like this happening: January 1, last year, at 12:16 in the morning, someone withdrew $41 worth of welfare money at Big Easy Daiquiris on Bourbon.

“Wow… that's horrific,” says Henry as we show him the record. “Every citizen in Louisiana should be appalled by that type of information.”

At the start of every month, the state puts cash on these Louisiana Purchase cards. The money comes from the federal government, but each month the state gives out about $3 million in its cash assistance program. The state says, typically, a female and two kids receive about a $200 monthly benefit. The state says most people can be on the program no more than 24 months out of a 60-month period.

To be in the program, you have to be a single parent with kids, or you have to have an adult with a disability in the household as well,” says Trey Williams with the state’s Department of Children and Family Services.

The Jindal administration says females represent 90 to 95 percent of the people in the program.

Right now the program has no restrictions. And that creates added issues. For example, each time someone takes money out of an ATM at a strip club, the welfare recipient and the state get charged a $6 service fee.

“When they are doing that, they’re not utilizing their benefits to the fullest potential,” says Williams.

Last October, of the $3 million in benefits, $50,000 went to ATM or service fees – remember, that's in just one state for one month.

“I would imagine tens of millions of taxpayer dollars are being wasted, just to the fees,” says Scalise.

Millions in benefits, wasted every month. And unless lawmakers pass new laws, there's little anyone can do.

“We find it appalling, and I’m sure everybody watching this story are going to find it appalling,” says Henry. “But there's nothing on the books that says they can't do this. And we have to change this, we have to change it as fast… I mean, this is ridiculous. It really is.”

Keep in mind, the benefits in this story go through the state’s cash assistance program, called Family Independence Temporary Assistance Program. The state also has a Supplemental Nutrition Assistance Program, commonly known as SNAP or the food stamp program. While the cash assistance program has no laws on the books that address how the money can be spent, the food stamp program does.

Benefits from both programs are put on a Louisiana Purchase Card. State officials say stores are able to differentiate between benefits.

Cops: Man stuck son in dryer, then turned it on

Thu, 09 Feb 2012 10:44:48 -0600

CAMBRIDGE, Ohio (AP) - Police say an Ohio man who stuck his 3-year-old son in a clothes dryer as punishment and then turned it on is facing child endangerment charges.

The Zanesville Times Recorder reports that 40-year-old Jamial Bayly is scheduled for a video arraignment Thursday in Cambridge Municipal Court.

Guernsey County Sheriff Michael McCauley says deputies went to the Cambridge home Sunday after getting a tip from family members.

The sheriff says the father acknowledged putting the boy in the dryer earlier in the day. Deputies didn't see any visible injuries on him. McCauley says he doesn't know how long the boy had been in the dryer.

The sheriff says the boy was released to his mother, who wasn't home when deputies arrived.

Cambridge Municipal Court records don't list an attorney for Bayly.

Scam alert issued to cell phone users

Thu, 09 Feb 2012 10:30:46 -0600

The Lafourche Parish Sheriff's Office is warning cell phone users of a long distance phone scam which could lead to high charges on phone bills.

Sheriff Craig Webre says that cell phone users receive a call that only rings once or twice, then disconnects. Callers who try to return the call could be charged expensive international call rates and possibly pay for pay-per-call services as well. Because the area codes on those return calls begin with an area code such as 809, 284, 649 or 876, callers assume they are making a domestic call. In reality, the user is connected to a phone number outside the United States, often in Canada or the Caribbean.

It's not until users receive their phone bill that they discover the scam.

There are other instances of this scam where users may receive a voicemail or email message indicating they should call a number with one of those (or similar) area codes to collect a prize, find out about a sick relative, or some other false pretense.

In a recent local case, a Lafourche resident had been receiving phone calls since October 2011, mostly from an 876 area code. During the calls, the resident was notified of prizes the resident had allegedly won such as a car and money, but that they needed the resident to send money for the postage and handling. The resident sent money to an account in Jamaica but had not received any goods/prizes.

Sheriff Webre is informing citizens that they can protect themselves from this scam by checking into any unfamiliar area codes before returning a missed call.

You can call directory assistance or the long distance operator to check an area code location. As a general rule, only return calls to familiar numbers or recognizable area codes. For citizens that never make international calls, they can ask their local or wireless phone company to block outgoing international calls from the line.

Gov. Jindal proposes $25.5B budget for next year

Thu, 09 Feb 2012 10:28:10 -0600

BATON ROUGE, La. (AP) - Gov. Bobby Jindal is proposing a $25.5 billion budget that closes a nearly $900 million gap with higher retirement costs for state employees, nearly 6,400 job cuts and a patchwork of one-time money.

The presentation of the governor's 2012-13 spending plan Thursday by Jindal's commissioner of administration, Paul Rainwater, has kicked off annual budget negotiations with lawmakers.

Louisiana's general fund is expected to grow by $129 million next year, but the increase isn't enough to cover inflationary costs and plug all gaps caused when one-time money used in this year's budget falls away next year.

The state's overall budget for the upcoming fiscal year that begins July 1 would shrink slightly from $25.6 billion. Twenty-nine percent would be spent on education and 38 percent for health care and social services.

No big winners in Wednesday's Powerball drawing

Thu, 09 Feb 2012 10:14:26 -0600

BATON ROUGE, La. (AP) - None of the tickets sold for Wednesday night's Powerball, Louisiana Lotto or Easy 5 games matched all the numbers necessary to win the big prizes.

Players matching all five numbers and the Powerball would have won or shared the $250 million jackpot.

The prize goes to an estimated $310 million for Saturday.

In the Lotto game, the $575,000 prize increases to an estimated $625,000 on Saturday.

The Easy 5 drawing rises to an estimated $280,000 after none of the tickets matched all five numbers drawn for Wednesday's $250,000 jackpot.

(Copyright 2012 by The Associated Press. All Rights Reserved.)

Terrebonne residents air complaints about police

Thu, 09 Feb 2012 09:56:11 -0600

HOUMA, La. (AP) - Residents upset with Terrebonne Parish deputies and Houma police aired their gripes at a school gym.

Complaints at the Tuesday meeting focused largely on the Terrebonne Narcotics Task Force, made up of members of Houma Police and the Terrebonne Sheriff's Office. Task force head Darryl Stewart, Houma Police Chief Todd Duplantis and Terrebonne sheriff's Chief Deputy Mike Solet attended the meeting.

The Courier reports that for the most part, the officials listened quietly and occasionally wrote something down.

Meeting participants said residents are regularly subjected to racially charged language and excessive charges. They also accused authorities of searching - without warrants - the homes of innocent people.

Tom Cruise's new film seeks extras

Thu, 09 Feb 2012 08:29:20 -0600

NEW ORLEANS (AP) - An action thriller with sci-fi elements and starring Tom Cruise is seeking extras.

The project will be filmed in New Orleans and Baton Rouge from March to May.

The Times-Picayune reported Wednesday that Universal Pictures has scheduled a Feb. 15 casting call for male and female extras ages 18-60 to appear in the as yet-untitled feature film. The casting call will be held from noon to 8 p.m. at the Pontchartrain Center in Kenner. The process will involve the filling out of an application and the taking of a photograph.

Those who can't make the casting call in person can e-mail a current photo and contact info to utcpcasting(at)gmail.com

The film will co-star actresses Andrea Riseborough and Olga Kurylenko.

La. gets $22M from corps for river and port work

Thu, 09 Feb 2012 08:21:31 -0600

NEW ORLEANS (AP) - The Army Corps of Engineers is spending $22 million for work on about a dozen rivers and ports in Louisiana. The money was announced Wednesday by the agency.

The biggest chunks go to dredging two rivers. Officials say $6.9 million has been set aside for the Calcasieu River and $9.1 million for work on the Atchafalaya River.

U.S. Sen. Mary Landrieu, D-La., said the funds would keep vital waterways from silting in.

There is also money for the J. Bennett Johnston Waterway, the Red River backwater, the Gulf Intracoastal Waterway, the Old River Control Structure, the Bonnet Carre spillway, the Red River and Bayou Cocodrie.

The corps also is spending $400,000 for a coastal protection plan for southwest Louisiana and $400,000 on studying the Calcasieu Lock.

Former LSU player faces sexual battery charge

Thu, 09 Feb 2012 08:17:11 -0600

GONZALES, La. (AP) - Ascension Parish prosecutors have brought a charge of sexual battery against former LSU running back Charles Scott.

The Advocate reports Assistant District Attorney Robin O'Bannon filed a bill of information against Scott on Monday.

The 23-year-old Scott is set for arraignment Thursday at the Ascension Parish Courthouse Annex in Gonzales.

The bill accuses Scott of sexual battery on Nov. 13 against a woman identified only by her initials.

Scott was arrested Nov. 13 on a count of simple rape of an 18-year-old woman.

It couldn't be determined if Scott had an attorney.

NOPD officer suicide leaves family members shocked

Wed, 08 Feb 2012 23:27:09 -0600

A federal insurance fraud investigation grew and one of the NOPD officers in the middle of the probe took his own life. Sal Battaglia, 41, died of a self-inflicted gunshot wound to the head. Natash Robin reports that his family was in shock Wednesday night, as the investigation expands into another parish.