The Senate Banking Committee needs to hold hearings as soon as possible to investigate the way the Federal Emergency Management Agency (FEMA) handled the Superstorm Sandy insurance claims process, a group of New York and New Jersey senators said Monday.

The demand for more hearings follows a "60 Minutes" report about allegations that private insurance companies denied flood insurance claims to thousands of Sandy victims due to fraudulently altered engineering reports. While the federal agency is not accused of fraudulence itself, FEMA was responsible for overseeing the private insurers.

The agency knew about the allegations of wrongdoing, and it "either did not appropriately investigate these claims or simply looked the other way," the senators said in a letter to the Banking Committee Monday. The letter was signed by Democratic Sens. Kirsten Gillibrand and Chuck Schumer of New York and Democratic Sens. Robert Menendez and Cory Booker of New Jersey.

... Continue reading article here.