Feds Descend On New Orleans Nonprofit Corporation

By: Associated Press
By: Associated Press

NEW ORLEANS (AP) - Federal agents have descended on a nonprofit
organization in New Orleans hired by the city to run a home cleanup
program after Hurricane Katrina.
FBI spokeswoman Sheila Thorne says FBI and IRS agents, among
others, went to the offices of the New Orleans Affordable
Homeownership Corporation on Monday. Some were photographed
wheeling boxes from the building.
U.S. Attorney Jim Letten said last week an investigation related
to the nonprofit has begun. But he has given no details.
The corporation was hired to run a program to assist low income
and elderly hurricane victims. Local media reports have scrutinized
ties between its former director and several contractors and
questioned whether some of the work it billed to the city was
actually performed.

(Copyright 2008 by The Associated Press. All Rights Reserved.

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