FCC Commissioner: We Were Told To Be Quiet on ‘Obamaphone’ Fraud

Varney FCC commissioner s ░░░░░░░░ to keep quiet about ░░░░░░░░ fraud Come in FCC ░░░░░░░░ Ajit Pai Would you ░░░░░░░░ what happened how you ░░░░░░░░ look Obamaphone the whole ░░░░░░░░ 6 million free phones ░░░░░░░░ there available to poor ░░░░░░░░ et cetera et cetera ░░░░░░░░ is fraud in that ░░░░░░░░ You were told to ░░░░░░░░ quiet about it and ░░░░░░░░ are an FCC commissioner ░░░░░░░░ That s correct On ░░░░░░░░ 31st the FCC on ░░░░░░░░ party line vote voted ░░░░░░░░ dramatically expand this program ░░░░░░░░ cover Internet access in ░░░░░░░░ to phone service However ░░░░░░░░ a month before that ░░░░░░░░ were told about a ░░░░░░░░ serious investigation involving a ░░░░░░░░ carrier that defrauded the ░░░░░░░░ taxpayers of millions upon ░░░░░░░░ of dollars We re ░░░░░░░░ told that the investigation ░░░░░░░░ learned about this fraud ░░░░░░░░ in October of 2014 ░░░░░░░░ that investigation had wrapped ░░░░░░░░ pretty much in the ░░░░░░░░ of 2015 but that ░░░░░░░░ were not going to ░░░░░░░░ on to say anything ░░░░░░░░ it until April 1st ░░░░░░░░ the very earliest conveniently ░░░░░░░░ day after we voted ░░░░░░░░ that party line vote ░░░░░░░░ expand the program And ░░░░░░░░ was wrong Varney It ░░░░░░░░ just another story of ░░░░░░░░ bad news hiding it ░░░░░░░░ the public when there ░░░░░░░░ an obvious problem going ░░░░░░░░ The next thing is ░░░░░░░░ t the administration want ░░░░░░░░ offer highly subsidized Internet ░░░░░░░░ for poorer people What ░░░░░░░░ you say about that ░░░░░░░░ That s basically where ░░░░░░░░ program is going and ░░░░░░░░ any sense of fiscal ░░░░░░░░ And look I think ░░░░░░░░ agrees that we want ░░░░░░░░ and other advanced communication ░░░░░░░░ to be more affordable ░░░░░░░░ when the American taxpayer ░░░░░░░░ is hard on the ░░░░░░░░ we need to be ░░░░░░░░ about how we do ░░░░░░░░ and that is not ░░░░░░░░ program we have today ░░░░░░░░ Correct me if I ░░░░░░░░ wrong but I think ░░░░░░░░ are all paying for ░░░░░░░░ in our own telephone ░░░░░░░░ You see that little ░░░░░░░░ at the bottom of ░░░░░░░░ bill that goes towards ░░░░░░░░ Obamaphone that goes towards ░░░░░░░░ Internet service I think ░░░░░░░░ Absolutely right If you ░░░░░░░░ a line that says ░░░░░░░░ service fee or something ░░░░░░░░ that that is the ░░░░░░░░ that is the tax ░░░░░░░░ pays for this another ░░░░░░░░ That tax has gone ░░░░░░░░ 60 percent in the ░░░░░░░░ seven years alone and ░░░░░░░░ s before the FCC ░░░░░░░░ this program There is ░░░░░░░░ telling how high that ░░░░░░░░ is going to go ░░░░░░░░ the future Varney How ░░░░░░░░ we do anything about ░░░░░░░░ PAI Well part of ░░░░░░░░ is going to depend ░░░░░░░░ a future FCC that ░░░░░░░░ committed to fiscal responsibility ░░░░░░░░ restraint Part of it ░░░░░░░░ Congress exercising oversight Just ░░░░░░░░ for example the House ░░░░░░░░ and Commerce Committee passed ░░░░░░░░ to impose the budget ░░░░░░░░ a remarkable step that ░░░░░░░░ But ultimately its is ░░░░░░░░ to be the American ░░░░░░░░ weighing in with their ░░░░░░░░ officials and with agency ░░░░░░░░ like me to let ░░░░░░░░ know look we want ░░░░░░░░ to be accountability in ░░░░░░░░ program Varney What do ░░░░░░░░ say to the argument ░░░░░░░░ poor people need a ░░░░░░░░ and they need an ░░░░░░░░ connection if they re ░░░░░░░░ to get out there ░░░░░░░░ the society and look ░░░░░░░░ a job They need ░░░░░░░░ and there s nothing ░░░░░░░░ with a little subsidy ░░░░░░░░ do you say to ░░░░░░░░ argument PAI I ll ░░░░░░░░ the first to say ░░░░░░░░ it s critical increasingly ░░░░░░░░ in the modern difficult ░░░░░░░░ for all people especially ░░░░░░░░ income Americans rural Americans ░░░░░░░░ others to have Internet ░░░░░░░░ But the question is ░░░░░░░░ do we have a ░░░░░░░░ responsible program that gets ░░░░░░░░ to that goal And ░░░░░░░░ program that we have ░░░░░░░░ the table is not ░░░░░░░░ We are wasting millions ░░░░░░░░ millions of dollars on ░░░░░░░░ who frankly don t ░░░░░░░░ the help in a ░░░░░░░░ of cases And that ░░░░░░░░ of waste fraud abuse ░░░░░░░░ to end if there ░░░░░░░░ going to be bipartisan ░░░░░░░░ support for this program ░░░░░░░░ the future Varney Ajit ░░░░░░░░ direct and to the ░░░░░░░░ We just love that ░░░░░░░░ you very much for ░░░░░░░░ us We appreciate it ░░░░░░░░ Thank you.”