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They say you can’t go home again … and they just may be right. New Orleans and Gulf Coast residents whose homes are still standing are returning to find the wood rotting, foundations shifted and the walls covered with mold. Making matters worse are insurance delays and denials. Insurance companies are, in many cases, wriggling out of paying, claiming the damage was caused not by wind but by water and thus not covered under homeowners policies. Mississippi Attorney General Jim Hood (not related to your similarly-named editor) has heard more than enough of this and has filed suit against the insurance industry challenging the exclusion of wind-driven water damage.

No Bankruptcy Relief Wisconsin Congressman James Sensenbrenner has decreed that Katrina victims don’t need special exemptions from the tough new bankruptcy law that takes effect next month. Sensenbrenner, who earlier voted against the $51 billion Katrina relief bill, blocked a bankruptcy relief measure by refusing to schedule hearings before the House Judiciary Committee, which he chairs.

Phony Relief Sites Everyone — well, almost everyone — wants to help Katrina victims but it’s important to do so wisely, so that your money actually accomplishes something. Missouri last week sued the operator of a group of racist Web sites who had set up sites appealing for Katrina donations. And the FBI warns that spammers are sending e-mails that appear to be from the Red Cross but aren’t. Legitimate charities don’t send e-mails.

Amateur Hour Other sites collecting for charities say they mean well but good intentions don’t necessarily produce a good outcome. Witness the bungling efforts of something called somethingawful.com.

More : consumeraffairs.com



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