Florida CEO Gets 5 Years in Prison, $128M Fine In ‘Obama Phone’ Scam

The owner of a Florida telecommunications company was sentenced to five years in jail after pleading guilty to stealing from the government program known informally as “Obama phone,” which provides cheap phone services to low-income consumers.
Q Link Wireless LLC and its 51-year-old CEO, Issa Asad, pled guilty last year to conspiring to conduct wire fraud and steal federal funds from the Lifeline program, the Department of Justice said.
Obama expanded the program in 1985, providing subsidized mobile service to the underprivileged. It was extensively attacked during the 2012 election, when a viral video surfaced showing a lady in Cleveland alleging she and her companions were handed “Obama phones.”
Fox Business noted that some telecommunication providers with Lifeline contracts welcomed the moniker, but the government did not.
Asad was sentenced to five years in jail, and he and the corporation were required to pay financial penalties and reparations totaling more than $128 million, according to the agency.
Separately, Asad pled guilty to money laundering from a government credit scheme designed to help struggling companies amid the COVID-19 epidemic.
Under the plea agreements, Asad and Q Link agreed to pay the Federal Communications Commission about $110 million in reparations. Asad also paid a nearly $17.5 million criminal fine for profits derived from Q Link’s phone service plan.
The DOJ stated that this was one of the highest financial fines imposed by the FCC in its history.
Asad also paid the Small Business Administration about $1.7 million in restitution for laundering loan profits from the Paycheck Protection Program (PPP) during the outbreak.
According to the DOJ, he confessed to using PPP money for house building, a Land Rover payment, his personal American Express card, property taxes, jewelry, and university gifts.
Asad and Q Link acknowledged in court to defrauding the FCC’s Lifeline program.
Between 2012 and 2021, Asad and Q Link presented inaccurate information about their Lifeline clients and submitted many bogus claims for government reimbursement. They also admitted to keeping Lifeline monies that they were not entitled to and misled the FCC about the company’s compliance with program guidelines.
Asad has a criminal history and was charged with murder in 2014 after running over a groundskeeper at his business over a dispute over paying $65 for lawn services.
He eventually pleaded not guilty to misdemeanor culpable negligence and received one year of probation and a $225 fine.
“Issa Asad and his company, Q Link Wireless, deliberately scammed two vital government programs aimed at supporting people and companies in economic distress, wrongfully diverting hundreds of millions of dollars for their personal benefit and gain, all while impeding the government’s capacity to assist those who genuinely required the help,” stated U.S. Attorney Hayden P. O’ Byrne for the Southern District of Florida. “These outcomes underscore our resolve to make sure that those who mastermind corporate fraud schemes face personal consequences.”
“IRS Criminal Investigation special agents are specially equipped to follow the complex financial trail left by criminals, and we are dedicated to holding those accountable for crimes committed,” said Executive Special Agent in Charge Kareem Carterof the Internal Revenue Service – Criminal Investigation (IRS-CI), Washington, D.C. Field Office. “This was a brazen scheme of staggering proportions. Mr. Asad prioritized his own greed, stealing $100 million from taxpayers. Today’s sentencing sends a clear message that our Global Illicit Financial Team and our law enforcement partners remain vigilant and will vigorously pursue those who attempt to enrich themselves through fraudulent means.”
“Q Link and Asad stole funds from a key FCC program meant to serve low-income households,” said Inspector General Fara Damelin of the FCC, Office of Inspector General (FCC-OIG).
“This sentencing sends an important message that egregious criminal misconduct against FCC programs will not go unanswered. FCC OIG investigators and their law enforcement partners at DOJ, IRS, SIGPR, and USPIS, did an outstanding job on this investigation, and we thank FCC for its assistance. FCC OIG is dedicated to stopping waste, fraud, and abuse, and will continue to vigorously pursue investigations against wrongdoers who defraud FCC programs and victimize our most vulnerable populations,” Damelin added.
CHAOS On the Set! House Minority Leader Explodes At CNBC Host After He's Cornered Over Obamacare Subsidies
NEW YORK, NY — The polished veneer of the Democrat healthcare narrative shattered on national television this week as House Minority Leader Hakeem Jeffries suffered a visible and vocal meltdown on CNBC’s "Squawk Box." In a segment that has quickly gone viral across the 2026 digital landscape, host Becky Quick executed a clinical cross-examination of the Democrat strategy to ransom the U.S. government over the sunsetting of the Affordable Care Act (ACA) subsidies.

The confrontation marked a pivotal moment in the post-government shutdown political theater, exposing what Speaker Mike Johnson has termed the "Politics of Fear." As Jeffries pivoted, deflected, and eventually erupted in anger, the cold hard reality of the 2026 healthcare crisis was laid bare: a system defined by 60% premium increases, a trillion-dollar price tag, and a Democrat leadership more interested in political leverage than bipartisan solutions.
I. THE CNBC CORNER: "LET’S NOT GO BACK TO THE PAST"
The tension began when Becky Quick pressed Jeffries on the necessity of a bipartisan approach to the looming expiration of taxpayer-provided ACA subsidies. These subsidies, which have artificially suppressed the soaring costs of Obamacare premiums, were strategically set to sunset on December 1, 2025, by the Biden-led Congress—a move critics say was designed to create a "cliff" that would force a Republican-led House into a spending trap.
1. The "Hang Themselves" Accusation
The debate reached a boiling point when Quick directly challenged Jeffries’ motivations for refusing to negotiate on a sustainable, bipartisan reform.
“I don’t think you want to get a deal done,” Quick said, looking directly at a stunned Jeffries. “I think this is something where you’d like to see the rates go higher and allow Republicans to hang themselves with it.”
The assertion struck a nerve. Jeffries, visibly frustrated, abandoned his usual measured tone. “That is a ridiculous assertion! Shame on you!” he shot back, his voice rising as the set descended into chaos. For the American public, the explosion was a tell—a sign that the host had accurately identified the Democrat "Lawfare" strategy being applied to the healthcare sector.
II. THE 60 PERCENT REALITY: OBAMACARE’S FAILED PROMISE
While Jeffries focused on rhetoric, Speaker Mike Johnson utilized his weekly press conference to provide the devastating statistics that have defined the ACA in 2026. The "Affordable" Care Act has become anything but, with the GOP majority revealing that by some estimates, premiums have risen an average of 60% since the program's inception.
1. Subsidies for Insurance Giants
Johnson argued that the "trillion dollars in new spending" demanded by Democrats to reopen the government was not going to patients, but was instead a direct transfer of wealth to insurance companies.
“The Democrats don’t reform Obamacare. They want to subsidize it,” Johnson explained. “That goes mostly to insurance companies, which makes the cost rise further. That’s the Democrats’ plan.”
By continuing to pump taxpayer billions into a broken system, the GOP argues that the radical left is merely inflating the bubble while masking the true, unsustainable cost of the healthcare mandates passed without a single Republican vote in 2010.
III. SAVING MEDICAID: THE AUDIT OF INELIGIBILITY
One of the most significant achievements of the 2026 Republican House has been the aggressive "cleanup" of the Medicaid system—a move Johnson cited as proof that the GOP is the party "fighting to save healthcare."
1. Removing Millions of Ineligible Enrollees
The Speaker revealed that the GOP has successfully moved millions of ineligible enrollees off the Medicaid rolls. This audit was not a cut to services, but a restoration of the program’s original intent.
“We got millions of ineligible enrollees off the program and it preserved it,” Johnson said. “It strengthened Medicaid for the people who rely upon it, which is the elderly, disabled, and young pregnant women.”
By eliminating the fraud, waste, and abuse that had bloated the system under the previous administration, the GOP has ensured that the safety net remains solvent for the most vulnerable Americans. The Democrat opposition to these common-sense audits, Johnson argued, is further evidence that they prioritize "raw numbers" over "quality care."
IV. THE POLITICS OF FEAR VS. THE MANDATE FOR REFORM
The recent government shutdown, which many in the media attempted to frame as a Republican failure, was re-categorized by Johnson as a "false claim" induced by Democrat intransigence. He asserted that the conflict was never truly about healthcare, but about the Radical Left’s fear of losing control over the taxpayer purse.
1. Ransom and Leverage
The December 1 sunset was a "timed bomb" left by the Biden administration. By refusing to work on a bipartisan fix throughout 2025, Jeffries and the House Democrats hoped to use the resulting premium spikes as a political weapon in the 2026 Midterms.
“No, [the shutdown] is not about healthcare,” Johnson declared. “This is about FEAR. Everyone in America understands that this is about something else.” That "something else" is the continued attempt to expand the "Deep State" bureaucracy into every facet of the American economy, using the health of the citizens as collateral.
V. THE 2026 RENAISSANCE: A NEW HEALTHCARE DOCTRINE
As the 2026 Renaissance continues to sweep through Washington, the Trump-aligned GOP is proposing a total shift away from the "subsidy-and-spend" model of the last 15 years. The new doctrine focuses on:
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Reducing Costs through Competition: Moving away from state-mandated monopolies.
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Increasing Access and Quality: Allowing for more diverse and affordable plan options.
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Eliminating Fraud: Continuing the aggressive audits started by Speaker Johnson.
The confrontation on CNBC served as a microcosm of the national debate. On one side, Hakeem Jeffries represents the "Old Guard" of the DNC—relying on explosions of anger and accusations of "shame" to deflect from the fiscal failure of their policies. On the other side, the GOP majority is presenting a "Victorious American" vision: a healthcare system that is sustainable, accountable, and actually affordable.
CONCLUSION: THE END OF THE HEALTHCARE GRIFT
Hakeem Jeffries’ explosion at Becky Quick was not just a moment of bad television; it was the sound of a narrative collapsing. For over a decade, Democrats have used the "Affordable Care Act" as a moral shield to justify trillions in spending. In 2026, with premiums up 60% and the GOP exposing the "insurance company payday," that shield has shattered.
Speaker Mike Johnson and the House GOP have called the Democrats' bluff. By reopening the government without surrendering to the trillion-dollar subsidy demand, they have forced the discussion back to actual reform and fiscal reality.
The era of "subsidizing the failure" is over. As we head toward the 2026 Midterms, the American people are seeing the difference between those who want to "hang" their opponents with higher rates and those who are doing the hard work of saving the safety net for the elderly and disabled. The chaos on the CNBC set was the beginning of the end for the Obamacare grift.