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Turmoil at the VA: New allegations against agency

The U.S. government agency that handles whistleblower claims wrote a letter to President Barack Obama on Monday detailing apparent contradictions within the Department of Veterans Affairs' own investigation of alleged misconduct, CNBC has learned

The U.S. Office of Special Counsel's letter, which was obtained by CNBC, focuses on the VA facility in Fort Collins, Colorado. The agency's findings are outlined in detail in the video here.

The VA, the second-largest federal government agency, is being investigated by several government watchdog agencies, including the Federal Bureau of Investigation.

A VA spokeswoman told CNBC in an email that issues related to Fort Collins remain under review "and we cannot speculate on what the findings may be." The spokeswoman noted that the VA protects whistleblowers from reprisal.

Read MoreVeterans Affairs Secretary Eric Shinseki resigns

The VA's 2015 budget exceeds $163 billion, and Congressional budget experts say new bills designed to help speed up veterans' access to health care could result in spending twice as much on veterans' health care over the next three years.

Exterior view of the Veterans Affairs Medical Center on May 8, 2014 in Phoenix, Arizona.
Getty Images
Exterior view of the Veterans Affairs Medical Center on May 8, 2014 in Phoenix, Arizona.

CNBC first uncovered fraud at the Department of Veterans Affairs 10 months ago, culminating in a documentary, "Death & Dishonor: Crisis at the VA," that was released last year.

  • Andrea Day

    Andrea Day covers Crime & Punishment for CNBC. She and her team have reported nearly $1 billion in fraud this year.

Inside the SEC

  • The Treasury estimates that $21 billion in potentially fraudulent refunds due to identity theft could be issued in the next five years.

  • CNBC's Gary Kaminsky takes a look at the massive amount of digital data that pours into the SEC's enforcement division, which is in charge of investigating violations of securities laws.

  • CNBC's Gary Kaminsky spent time with SEC's Bruce Karpati to learn more about his division, which investigates allegations of fraud committed by investment advisers. Kaminsky reports that if you're breaking the law, the agency will find you.

Madoff Trustee: Investigations Inc

Selling the American Dream

Investigations Inc.: Cyber Espionage

  • When a person enters information on a website, like an email or credit card, it gets stored in that company’s data base. Those web-based forms are a simple tool for users, but they are also another way hackers can exploit a company’s system. Instead of inputting a name into the website, cyber spies can put in a specially crafted text that may cause the database to execute the code instead of simply storing it, Alperovitch said. The result is a “malicious takeover of the system,” he said.

    By attacking business computer networks, hackers are accessing company secrets and confidential strategies and creating huge losses for the overall economy.

  • China is working feverishly to counteract its slowest GDP growth in recent years, and one of the ways it’s doing so, say U.S. officials, is through the theft of American corporate secrets.

  • US businesses are enduring an unprecedented onslaught of cyber invasions from foreign governments, organized crime syndicates, and hacker collectives, all seeking to steal information and disrupt services, cybersecurity experts say.