Clyburn Urges Compliance with Investigation After Documents Raise New Concerns About USDA Food Box Program
Washington, D.C. (November 23, 2020) — Yesterday, Rep. James E. Clyburn, Chairman of the Select Subcommittee on the Coronavirus Crisis, sent a letter to a Department of Agriculture (USDA) contractor, Yegg, Inc., urging cooperation with the Select Subcommittee's investigation into the Farmers to Families Food Box Program. Yegg received a $16.5 million contract to supply dairy products for hunger relief, but documents obtained by the Select Subcommittee raise questions about USDA's contract award and whether the company met the terms of the contract and ensured food reached people in need. Yegg has refused to provide the Select Subcommittee with critical documents and information.
"On August 24, 2020, the Select Subcommittee requested your cooperation in an investigation of the Farmers to Families Food Box Program, the Department of Agriculture (USDA) program intended to provide food assistance to Americans struggling to make ends meet during the coronavirus crisis," the Chairman wrote. "Since then, the Select Subcommittee has obtained information that raises further concerns about this program and about Yegg's role, yet your company has withheld key documents the Subcommittee needs to conduct its investigation."
The Select Subcommittee's August 24, 2020, letter to Yegg noted that the company received the multimillion dollar food distribution contract despite its lack of experience with food distribution. Documents recently obtained by the Select Subcommittee raise new questions about the truthfulness of Yegg's proposal to USDA and whether the contractor delivered food to legitimate relief organizations for people experiencing hunger.
In particular, the Select Subcommittee investigation revealed that USDA paid Yegg almost $3 million for food boxes delivered to Helping Feet, an entity founded and run by Yegg's management, which has a website promoting a book written by Yegg's President, George Egbuonu. This company has no public information suggesting any experience in distributing food.
The letter explains: "Yegg reported that it delivered almost $3 million of food boxes, including and 38,956 dairy boxes and 171,000 fluid milk boxes to an organization named Helping Feet. This entity is not a Southern California food bank. Rather, it is an organization that you founded, with no public information indicating a mission, experience, or capacity to deliver food to people in need."
The Select Subcommittee's letter requests documents from Yegg regarding its role in the Food Box program by December 4, 2020.
Click here to ready the letter to George Egbuonu, President of Yegg.
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