A new report reveals that under Obamacare, funds were illegally used by the Obama administration to pay off insurance companies.
Politico reports that the nonpartisan Government Accountability Office (GAO) found the following:
In 2014, the industry-funded reinsurance program was supposed to provide $10 billion to insurers and $2 billion to the federal Treasury. But when total collections from insurers amounted to only $9.7 billion, the Department of Health and Human Services opted to funnel all of the money toward insurers. The agency paid insurers $7.9 billion in claims for 2014, the first year of exchange coverage, and held over the remaining $1.7 billion for future payments.
In other words, as Townhall’s Guy Benson explains, HHS did not have the statutory authority to tap into $3 billion earmarked for the U.S. Treasury and use it to bail out insurers, as both the GAO and Congressional Research Service have both stated, even though they raised less money than expected. Now, the Obama administration is looking to raid other federal funds to pay off insurers, such as “an obscure Treasury Department fund intended to cover federal legal claims.”
“The Obama administration wants to raid an entirely separate federal fund in order to funnel billions of tax dollars as an effective bribe to temporarily slow the implosion of an unsustainable, failing law that most Americans opposed from the moment it was proposed and debated — and continue to oppose today, years later, as critics’ predictions have been vindicated by reality,” writes Benson.
President Barack Obama has proven throughout his presidency that the law is irrelevant to him, so now his administration is ignoring the law once again in a desperate, futile attempt to prop up his precious healthcare law.