Posted on Tuesday, May 5th, 2015 at 2:40 pm
The Federal Emergency Management Agency (FEMA) is determined to collect the $24 million it overpaid to 3,600 beneficiary families in five Sandy-stricken states–plus interest, The Telegraph reported on May 4.
This is amid criticism surrounding allegations that engineers shortchanged Hurricane Sandy policy owners by doctoring damage reports. Under political pressure, FEMA has agreed to investigate this matter.
However, when it comes to re-collecting erroneously distributed funds, FEMA is ready to enlist the help of debt collectors. Apart from the initial amount, the agency is demanding an interest of 1% if the money is not paid within 30 days. After 90 days, the interest will rise to 6%. If no payment is made after 120 days, FEMA will turn over the debt to the U.S. Treasury, which can call in debt collectors and impose additional penalties.
This is again another blow to Hurricane Sandy survivors who are still recuperating from the devastation brought about by the storm. Many homeowners have been delayed or denied funds by bad faith insurance companies. If you have experienced this, the attorneys of Williams Kherkher may fight on your behalf for the compensation due to you. Learn more by calling our offices at 888-384-6376 today.