Inside Job

A standard complaint about prison rehabilitation programs is that they do not work. One such program at Leavenworth, the federal prison in Kansas, appears to have worked only too well. Six years ago, Leavenworth launched a computer training course under a federal contract. The computer course became so popular that 58 convicts are enrolled.

Small wonder. Inmates apparently learned how to crack the computer code governing Internal Revenue Service audits. Since prisoners must file tax returns on any outside income, some saw a golden opportunity. Knowing how to hoodwink the computer, they loaded their returns with all kinds of bogus claims for refunds, with little fear of being audited. One convict was finally caught. Last week he went on trial for receiving $20,000 in illegal refunds. Others are sure to follow him to the dock, since the total rip-off could range anywhere from $150,000 to $6 million. Back to making license plates.

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