Today, the Justice Department’s National Fraud Enforcement Division announced the results of a surge of criminal enforcement actions targeting fraud in the Social Security Administration (SSA)’s benefits programs, including Supplemental Security Income (SSI).
Between Aug. 21 and Sept. 18, the Fraud Division and U.S. Attorneys in 11 districts, along with the assistance of the SSA Office of Inspector General (SSA OIG), brought charges against 17 defendants who are allegedly responsible for more than $1.3 million in intended loss to the United States.
“The Social Security Administration’s benefits programs are meant to safeguard America’s elderly and most vulnerable – not to bankroll fraudsters,” said Assistant Attorney General Colin M. McDonald of the Justice Department’s National Fraud Enforcement Division. “Every dollar stolen is a dollar taken from a retiree’s medicine, meals, or housing. These cases represent just a fraction of the fraud we are aggressively pursuing every day. The egregious facts uncovered in these cases underscore why our mission to combat fraud – large or small – is vital to protecting public trust and ensuring justice.”
“President Trump and Vice President Vance have given the federal government an unprecedented mandate – and the tools and resources to back it up – to find fraud wherever it exists and root it out,” said Commissioner Frank Bisignano of the Social Security Administration. “At Social Security, we are putting that mandate into action. Working hand-in-hand with the Department of Justice, we are aggressively pursuing fraud, safeguarding taxpayer dollars, and protecting Social Security.”
“Fraud involving Social Security’s retirement and disability programs will not be tolerated. Thanks to OIG’s partnership with the Department of Justice, those targeting taxpayer dollars and jeopardizing our most vulnerable populations will be held accountable,” said Michelle L. Anderson, Assistant Inspector General for Audit as First Assistant at SSA OIG. “These cases demonstrate the value of focusing resources to identify and prosecuting fraud schemes to ensure taxpayers dollars are paid only to those who are rightfully entitled.”
Notable Cases (Intended Loss Figures):
S. v. Eva Bratcher (Indictment) – $21,402 – Northern District of Illinois
Bratcher allegedly concealed her mother’s body in a deep freezer in her garage for two years. During those two years, Bratcher assumed her mother’s identity, collected her mother’s SSA benefits, and used her mother’s SNAP benefits. The defendant also allegedly used an alternative Social Security Number to steal additional SNAP benefits to which she was not entitled.
Charges: 18 U.S. Code § 641 (Theft of Government Property); 42 U.S. Code § 408 (Fraud, Misrepresentation, or misuse of Social Security Benefits)
Maximum Penalties: 10 years; 5 years in prison
Prosecuted by Assistant U.S. Attorney Parker Gardner-Erickson and Special Assistant U.S. Attorney Niranjan Emani for the Northern District of Illinois. District Fraud Counsel AOR: Assistant U.S. Attorney Vincenza Tomlinson for Northern District of Illinois.
S. v. David Darling (Indictment) – $ 109,746 – Northern District of New York
Darling had control of his deceased brother’s ATM card and began withdrawing money the day after death. SSA was unaware of the death and continued to pay into the account. Darling continued his scheme for a total of $109,746 in stolen social security benefits.
Charges: 18 U.S. Code § 1029 (Access Device Fraud); 18 U.S. Code § 641 (Theft of Government Property); 18 U.S. Code § 1028A (Aggravated Identify Theft)
Maximum Penalties: 15 years; 10 years; 2-year mandatory minimum in prison
Prosecuted by Assistant U.S. Attorney Arne Soldwedel for the Northern District of New York. District Fraud Counsel AOR: Assistant U.S. Attorney Benjamin Clark for the Northern District of New York.
S. v. Debra Reed (Indictment) – $ 59,070 – Western District of Pennsylvania
On Nov. 23, 2020, Debra Reed’s father died. Between Nov. 24, 2020, and Oct. 26, 2023, the Social Security Administration continued to pay social security retirement payments to the father’s account, and Reed either personally stole the money or caused her daughter to take the money and transfer it to her directly.
Charges: 18 U.S. Code § 641 (Theft of Government Property)
Maximum Penalties: 10 years in prison
Prosecuted by Assistant U.S. Attorney Brendan J. McKenna for the Western District of Pennsylvania. District Fraud Counsel AOR: Assistant U.S. Attorney Nicole Stockey for the Western District of Pennsylvania.
United States v. Laura Whisenant – $ 121, 980 – Eastern District of Michigan (Complaint)
Laura Whisenant served as a representative payee for her elderly, mentally disabled uncle. For seven years, she stole and misused nearly $121 K of her uncle’s SSA benefits – all while he lived in squalor, in a house without running water, electricity, or heat.
Charges: 42 U.S.C. § 408(a)(5)
Maximum Penalties: 5 years in prison
Prosecuted by Assistant U.S. Attorney Corinne M. Lambert for the Eastern District of Michigan. District Fraud Counsel AOR: Assistant U.S. Attorney Jason Norwood for the Eastern District of Michigan.
United States v. Keshaune Pace also known as Keshaune Jenkins – Southeast Michigan (Complaint)
Keshaune Pace served as representative payee for her minor son, who was a recipient of SSI benefits due to disability. In order to maintain the receipt of her son’s benefits after he left her custody, she lied to the SSA about her son’s living arrangements, going so far as to have another person impersonate her son during an SSA-initiated review. Pace stole and misused $30,000 of the benefits paid on behalf of her son; $6,000 of those benefits should have been used for her son’s needs and were not, $24,000 should have been paid to no one at all.
Charges: 18 U.S. Code § 641 (Theft of Government Property); 42 U.S.C. § 1383a(a)(4) (Social Security Representative Payee Fraud)
Maximum Penalties: 10 years; 5 years in prison
Prosecuted by Assistant U.S. Attorney Corinne M. Lambert for the Eastern District of Michigan. District Fraud Counsel AOR: Assistant U.S. Attorney Jason Norwood for the Eastern District of Michigan.
Additional Charges During SSA Surge:
- United States v. Tammy Phillips – $65,000 – Western District of Pennsylvania
- United States v. Israel Gonzalez – $139,952 – Western District of North Carolina
- United States vs. John Zaccaria – $143,685 – District of Rhode Island
- United States v. Sherry Freude – $100,845 – Southern District of Texas
- United States v. Lisa Martinez – $50,501 – Western District of Texas
- United States v. Stacey L. Stoudermire – $31,237 – Northern District of Ohio
- United States vs. Ruthie M. Lewis – $33,131 – Northern District of Ohio
- United States vs. Lizbeth A. Reinhard – $170,166 – Northern District of Ohio
- United States vs. Carrie Miller – $50,658 – District of Idaho
- United States vs. Calandra Davis – $53,234 – Northern District of Indiana
- United States v. Tammy Hopkins – $98,879 – Eastern District of Michigan
- United States v. Darlette Williams – $46,844 – Eastern District of Michigan
U.S. Attorney Partners: District of Idaho, District of Rhode Island, Eastern District of Michigan, Northern District of Illinois, Northern District of New York, Northern District of Ohio, Southern District of California, Southern District of Texas, Western District of North Carolina, Western District of Pennsylvania, Western District of Texas.
On April 7, the Department of Justice announced the creation of the National Fraud Enforcement Division (Fraud Division). The Fraud Division is laser-focused on investigating and prosecuting those who commit fraud against the American people. The Department’s work to combat fraud supports President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.