Intrust Bank First Citizen award

It seems the drive-by media is more than happy to provide us an endless stream of stories about people getting caught "gaming the system". What you're not getting are the stories of how the "system" is gaming us and why so many people are feeling victimized by the very system supposedly set up for our benefit.

The Wichita Eagle reported on Aug. 11, 2007 the following story…

A Wichita couple who ran a drug and alcohol abuse counseling center were sentenced Friday to more than seven years in federal prison for their roles in a health-care fraud case.

Peggy Franklin-El, 50, and her husband, Johnnie Franklin-El, 53, were sentenced to 92 months in prison each by U.S. District Judge Monti Belot, who ordered them to pay $1.24 million in restitution.

In March, federal jurors found the Franklin-Els guilty of making more than $1.24 million in false claims to Medicaid.

…U.S. Attorney Eric Melgren said in a statement that the couple "preyed on a community of economically deprived, vulnerable individuals who were lured into giving the defendants their Medicaid numbers, without which the fraud could not have been successful."
Kansas.com | 08/11/2007 | Couple gets 7 years for fraud

I thought Eric Melgren's comment was interesting in that he was pointing the accusatory finger at a Wichita couple who took advantage of a flawed system, while at the same time ignored the real criminals who prey on "a community of economically deprived, vulnerable individuals."

Consider for example, how banks and credit card companies regularly prey on "a community of economically deprived, vulnerable individuals" with predatory lending practices and their economically discriminating "credit score." Those individuals with less than stellar credit scores are charged higher interest rates, higher insurance rates, denied employment, and more.

How about how credit card companies target a community of economically deprived, vulnerable individuals with 0% offers to make purchases with their credit cards? If those individuals also carry another balance on the card at a higher interest rate, as the individual makes payments on their account, the credit card company applies those payments to the no-interest balance all the while the higher interest rate portion continues to grow. In the end, the consumer loses.

In the recently reported StrongBucks scam, the very banks that have the power and resources to go after the scammers seem to ignore the problem and rather blame the victim. Intrust Bank, for example, told me that since "they could not prove I didn't write" a clearly fraudulent check, they were going to pay it out to the scammer instead. Huh? Where's the presumption of innocence? In the eyes of Intrust Bank, I'm guilty until proven innocent. I suggested to them they follow the money and look at the Bank of America account the money was deposited to in order to find the scammer. Do you think they'd do that? Right, when pigs fly.

It seems to me they are more interested in protecting the privacy of scammers. And folks, the scammers know it and use that very fact to their advantage as the victims of their fraud are
held accountable. Is it any wonder that people like the Franklin-El's might find the motivation to strike back?

banks, bank fraud, credit cards, Eric Melgren, Health Care, Intrust Bank, scams