Isn't Money Fungible?

Companies receiving “bailout” funds spend money on questionable items like giant bonuses, trips to Las Vegas, or airplanes. When questioned about it they say that they did not use bailout money for that, they only use bailout money for purposes we should consider valid, like loaning to people who need it.

No, sorry. Money is fungible. If you have $1000 and I loan you $1000, and you spend $500 on ball caps for your executives, $250 of that was loan money.

I would hope that someone in government understands money well enough to see through those weak excuses.

Hope never dies.