Mexican Government Gave Free TVs to Poor, but Defects Wasted Taxpayers’ Money

[Dashinka 25,899]

I guess wasting money is something all governments have a knack for doing.  But I guess it is OK since they only wasted 4% of the budgeted program.

 

MEXICO CITY—Mexico’s congressional audit office has ruled that a controversial government program to give away some 10 million flat-screen TV sets to the poor wasted an estimated $39 million of taxpayers’ money.

The audit found that some 339,000 of the televisions in President Enrique Peña Nieto’s nearly $1-billion program were defective. The subsidy program was aimed at helping the poor during the country’s 2015 switch from analog to digital signals for television.

Around 12,200 television sets are missing altogether, the audit office said as part of a recently released wide-ranging review of government spending in 2015. Together with the defective sets, the office computed the probable loss to Mexico’s coffers at $39 million.

 

The finding comes in the wake of broader concerns about the TV giveaway. In September, The Wall Street Journal published a story about the program that included allegations that a high-ranking Mexican official asked for kickbacks during the bidding process. At the time, senior government officials said the acquisition of TVs was transparent and legal.

“The irregularities found by the audit office showcase the problems of corruption that the program has had, and also the government’s lack of capacity to implement it correctly,” said Marco Fernández, a professor at the Tecnológico de Monterrey and researcher at think-tank México Evalúa.

In response to questions about the audit, Mexico’s Communications and Transport Ministry, which handled the program, said it was taking legal action to get restitution from the company that provided the defective television sets. It didn’t name the supplier.

Regarding the 12,000 missing televisions, the ministry said 8,000 were handed out after the audit office finished its report and that the rest were in the process of being delivered.

Contracts for almost two-thirds of the sets went to domestic electronics wholesaler Comercializadora Milenio SA, in partnership with its sister company, domestic television manufacturer Diamond Electronics SA. In one case Diamond was awarded a no-bid contract for 460,000 sets, government documents show. Both firms have denied any wrongdoing.

Although Mexico is the world’s largest exporter of flat-screen TVs, none of the leading television manufacturers with operations here played a prominent role in the giveaway initiative. Mexico’s largest producer, Samsung, was disqualified for technical reasons, according to government documents.

 

https://www.wsj.com/articles/mexican-audit-finds-faults-in-tv-giveaway-1488537012

[X Factor 1,113]

Used the defective TVS to build the wall. 

[TBoneTX 47,548]

This sort of thing might happen in many countries that have lax oversight or controls.

Government giveaways can be overly expensive anywhere (q.v. "Cash for Clunkers").

[Dashinka 25,899]

51 minutes ago, TBoneTX said:

This sort of thing might happen in many countries that have lax oversight or controls.

Government giveaways can be overly expensive anywhere (q.v. "Cash for Clunkers").

Absolutely!

[OriZ 3,165]

3 hours ago, TBoneTX said:

This sort of thing might happen in many countries that have lax oversight or controls.

Government giveaways can be overly expensive anywhere (q.v. "Cash for Clunkers").

Oh god...cash for clunkers...another stupid idea that "saved" the economy.

[TBoneTX 47,548]

And no one remembered to criticize 0bummer for it, then or later.

I suspect that everyone was still terrified by the administration's post-election pronouncement of "If your neighbor refuses to support the policies or regime of Dear Leader, snitch on him to flag@whitehouse.gov."

 

http://www.washingtontimes.com/news/2014/jan/24/hendershott-the-search-for-obamacare-squealers/

Edited March 8, 2017 by TBoneTX

[Dianalorena 1,158]

 

Corruption? In my country? *gasp* I'm shocked! 

Meanwhile, crime in Mexico City keep increasing, just like violence against women and children, and even the suicide rate.

Not just minimum wage or the cost of living and gasoline, that of course keeps going up. 

Our government wants to keep us dumb and entertained, just the way they like it. 

 

 

[OriZ 3,165]

58 minutes ago, Dilorena said:

 

Corruption? In my country? *gasp* I'm shocked! 

Meanwhile, crime in Mexico City keep increasing, just like violence against women and children, and even the suicide rate.

Not just minimum wage or the cost of living and gasoline, that of course keeps going up. 

Our government wants to keep us dumb and entertained, just the way they like it. 

 

 

Wouldn't you agree that the drug war only makes the cartels stronger and has tremendously increased the crime rate? I think they need to try a different approach. I do love them cherry tomatoes from Mexico though.

[Dianalorena 1,158]

28 minutes ago, OriZ said:

Wouldn't you agree that the drug war only makes the cartels stronger and has tremendously increased the crime rate? I think they need to try a different approach. I do love them cherry tomatoes from Mexico though.

completely agree. and it promotes violence anyway, since it's not making the business go away, it just makes it more dangerous.

A progressive ''legal''  approach would be best, but it's still a very religious, closed minded country over all. 

I can't live without them tortillas and pastor tacos. I miss them so much when I'm in the U.S!