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The FBI has uncovered a medical fraud scheme in which hospitals in L.A. used homeless people to pose as patients in order to get a full patient-load and obtain government money. Some hospital officials involved are now being charged with draining the government of millions of dollars in health services. (AP)

An Iraqi official from Prime Minister al-Maliki’s Dawa Party defended the Iraqi government’s spending, saying critics are overlooking progress in Baghdad. The estimated $79 billion government budget surplus was revealed earlier this week in a GAO report. (AP)

The White House said it was pleased with yesterday’s conviction of Salim Hamdan, despite the military commission’s acquittal on several of the more serious charges for Osama bin Laden’s driver. Although some critics have questioned the military commission’s process, the White House continued to defend the system as “fair and appropriate”. (AP)

Questions remain about the military commission process after its first trial concluded yesterday with Salim Hamdan’s split decision. Many of these questions, such as whether proper evidence was admitted or if there was enough access to witnesses, may arise as Hamdan’s case enters the appeal process in federal court. (Chicago Tribune)

The Mine Safety and Health Administration criticized last year’s Utah mine collapse, saying the mine was “destined to fail” because of miscalculations by the mining company. However, the agency was faulted as well by the Department of Labor for poor oversight prior to the collapse that left six people trapped underground. (AP)

Connecticut has joined California, Florida, and Illinois in suing Countrywide Financial Corporation. Connecticut accused Countrywide of giving customers mortgages they could not afford and charging unreasonable legal fees to borrowers. (Reuters)

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