Referral Bonus

Posted: April 12, 2012 in Uncategorized

In 2005 the Pentagon came up with a new way to recruit men and women into the National Guard and Reserve. They created the Recruiting Assistance Program which gave bounties of up to $2,000 for each new enlistee that a soldier or civilian – called recruiting assistants – got to sign up. (Military recruiters were not qualified for this program.) Last month Secretary of the Army John McHugh cancelled the program after receiving an internal audit finding that numerous army recruiters had been providing enlistees to the recruiting assistants and splitting the bounties. The audit found that over $92 million in bounties were “potentially fraudulent.” That would be more than 25% of the $339 million paid out in the program. Secretary McHugh ordered that a probe of the system be commenced. At the present time the investigation involves 1,706 recruiters and hundreds of “recruiting assistants” who collected the bounties and split them with the Army recruiters. It is alleged that many of the recruiters and the “Assistant recruiters” actually shared banking accounts. This could turn into a serious criminal scandal. [Source: TREA News for the Enlisted 16 Mar 2012 ++]


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