19 Indicted For Allegedly Bilking The social Security Administration Out Of Hundreds Of Thousands In Benefits Payments

usdoj.gov, Sep 08, 2005

United States Attorney Debra Wong Yang announced today the filing of felony charges against 19 current and former Southern California residents who allegedly bilked the Social Security Administration out of a cumulative total of approximately three-quarters of a million dollars.

The indictments, which were filed yesterday in United States District Court in Los Angeles, outline several schemes that the defendants allegedly used to defraud the Social Security Administration and illegally obtain benefits. Several defendants are accused of collecting benefits under two different names and social security numbers. Some allegedly collected disability payments when they were able to work and, in fact, held jobs. Others concealed the deaths of relatives who received social security benefits so that they could continue to receive the benefits and spend the money themselves. And yet others were supposed to receive benefits in trust for relatives but instead converted the benefits to their own personal use.

Each count of theft of government property count carries a maximum penalty of 10 years imprisonment. Each Social Security fraud count carries a maximum penalty of five years imprisonment. Conspiracy carries a maximum penalty of five years in federal prison. Making a false statement to a government agency also carries a maximum penalty of five years in prison. The charge of forging the endorsement on a Treasury check carries a potential prison term of ten years.

An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed to be innocent until and unless proven guilty.

The indictments are the result of a joint effort between the United States Attorney's Office and the Social Security Administration/Office of the Inspector General to identify and prosecute fraud against Social Security benefit programs.