The recent fraud arrests involved applications for homeowner grants through the Mississippi Development Authority, which is expected to hand out more than $1 million for Katrina recovery. Some who applied listed damaged property they did not own. In checking their disaster-relief histories, investigators found these same people had received disaster assistance from FEMA and, in some cases the SBA, for the same properties.
“That’s not good enough (for them),” Bryant said. “Now they’re trying to steal our HUD money.”