House probe starts after $127M in bailout funds paid to dead Teamsters’ pension plan
NY Post
The Biden administration is facing a new congressional probe after an agency that distributed tens of billions of dollars from the American Rescue Plan failed to stop $127 million from going to deceased participants in a Teamsters’ pension fund.
The House Education and Workforce Committee sent a letter on Tuesday to the Pension Benefit Guaranty Corporation (PBGC), demanding records related to the agency’s “mismanagement” and “overpayment” to the union pension plan, according to a copy of the missive exclusively obtained by The Post.
“As part of this investigation, the Committee requests documents and information relating to PBGC’s disbursal of these payments and its plan to recoup these significant taxpayer funds,” Chairwoman Virginia Foxx (R-NC) and Subcommittee on Health, Employment, Labor and Pensions Chairman Bob Good (R-Va.) wrote.
“Taxpayers rightfully expect agencies like PBGC to take the necessary measures to ensure that their funds are protected and spent wisely. Instead, PBGC’s reckless disregard of prudent steps is a case study of waste and abuse. The Committee intends to conduct robust oversight of PBGC’s negligence, including possible testimony before the Committee.”
A Nov. 1 memo from PBGC’s Office of Inspector General found the International Brotherhood of Teamsters’ pension fund received money for 3,479 dead members out of $35.8 billion allocated from President Biden’s 2021 American Rescue Plan.
The federal auditor revealed that PBGC failed to consult the Social Security Administration’s Full Death Master File (DMF) before distributing the dollars to the Teamsters’ Central States Pension Fund, which includes almost 350,000 members and is one of the largest multiemployer plans in the nation.
