If you thought Cash for Clunkers was terrible public policy, just wait till you hear the latest from Massachusetts:

Federal economic stimulus cash was handed out to cons behind bars in Bay State prisons after a bureaucratic snafu resulted in $250 checks being sent to some inmates – and now red-faced feds want it back.

“Taxpayers already believe the inmates are running the asylum in Washington,” U.S. Sen. Tom Coburn (R-Okla.) said in a statement. “Now it appears they are being compensated for their efforts.”

Not only did the feds send the cash to incarcerated cons, but they failed to respond to state officials who sounded the alarm about the inmate windfall – now the subject of a national probe.

The Herald learned yesterday the U.S. Social Security Administration is asking at least 14 of the Bay State prisoners to return the cash. Inmates are generally not allowed to receive Social Security benefits while incarcerated.