Former Social Security Administrative Law Judge Sentenced To Prison For $550 Million Social Security Fraud Scheme

Former Social Security Administrative Law Judge Goes To Prison

Alcatraz prison cell (pfnatic)

A former social security administrative law judge (ALJ) was sentenced to four years in prison for his role in a scheme to fraudulently obtain more than $550 million in federal disability payments from the Social Security Administration (SSA) for thousands of claimants.

Acting Assistant Attorney General Kenneth A. Blanco of the Justice Department’s Criminal Division, Special Agent in Charge Michael McGill of the Social Security Administration-Office of Inspector General’s (SSA-OIG) Philadelphia Field Division, Special Agent in Charge Amy S. Hess of the FBI’s Louisville Field Division, Special Agent in Charge Tracey D. Montaño of the IRS Criminal Investigation (IRS-CI) Nashville Field Office and Special Agent in Charge Derrick L. Jackson of the U.S. Department of Health and Human Services-Office of the Inspector General (HHS-OIG) Atlanta Regional Office made the announcement.

David Black Daugherty, 81, of Myrtle Beach, S.C., was sentenced by U.S. District Judge Danny C. Reeves of the Eastern District of Kentucky, who also ordered Daugherty to pay restitution of over $93 million to the SSA and HHS. Daugherty pleaded guilty in May 2017 to two counts of receiving illegal gratuities.

According to admissions made as part of his guilty plea, beginning in 2004, Daugherty, as an ALJ assigned to the SSA’s Huntington, W. Va., hearing office, sought out pending disability cases in which Kentucky attorney Eric Christopher Conn represented claimants and reassigned those cases to himself.

Daugherty then contacted Conn and identified the cases he intended to decide the following month and further solicited Conn to provide medical documentation supporting either physical or mental disability determinations. Without exception, Daugherty awarded disability benefits to individuals represented by Conn – in some instances, without first holding a hearing. As a result of Daugherty’s awarding disability benefits to claimants represented by Conn, Conn paid Daugherty an average of approximately $8,000 per month in cash, until approximately April 2011. All told, Daugherty received more than $609,000 in cash from Conn for deciding approximately 3,149 cases.

As a result of the scheme, Conn, Daugherty, and their co-conspirators obligated the SSA to pay more than $550 million in lifetime benefits to claimants based upon cases Daugherty approved for which he received payment from Conn.

Daugherty was indicted last year, along with Conn and Alfred Bradley Adkins, a clinical psychologist. The defendants were charged with conspiracy, fraud, false statements, money laundering and other related offenses in connection with the scheme.

Conn pleaded guilty on March 24, to a two-count information charging him with theft of government money and paying illegal gratuities, and was sentenced in absentia on July 14 to 12 years in prison. Conn absconded from court ordered-electronic monitoring on June 2, and is considered a fugitive. He remains under indictment. On June 12, Adkins was convicted after a jury trial of one count of conspiracy to commit mail fraud and wire fraud, one count of mail fraud, one count of wire fraud and one count of making false statements. Adkins is scheduled to be sentenced on September 22.

The SSA-OIG, FBI, IRS-CI and HHS-OIG investigated the case. Trial Attorney Dustin M. Davis of the Criminal Division’s Fraud Section and Trial Attorney Elizabeth G. Wright of the Criminal Division’s Money Laundering and Asset Recovery Section are prosecuting the case, with previous co-counsel including Assistant U.S. Attorney Trey Alford of the Western District of Missouri and Investigative Counsel Kristen M. Warden of the Justice Department’s Office of the Inspector General.

[Source: U.S. Department of Justice -/- Media Relations]
[photo credits: inserted by Openeyesopinion.com (credits embedded)]

###


 

Visiting Las Vegas?… Check out this website first

Worldwide Hotel Accommodations Hotels.com



Click here for reuse options!
Copyright 2017 openeyesopinion.com
Share This Post
Share on Facebook0Share on Google+0Tweet about this on TwitterShare on Reddit1Pin on Pinterest0Share on StumbleUpon0Share on LinkedIn0Digg thisShare on Yummly0Share on Tumblr0Buffer this pagePrint this pageEmail this to someone





Related News

  • Do You Want To Watch Sports Or Politics On The Field?
  • Psychologist Sentenced To 25 Years In Prison For $550 Million Social Security Fraud
  • Experienced Military Medics And Navy Corpsmen Should Be Utilized In Civilian Medical Roles
  • American Politics? – Videotapes?, Wiretapping?, Misspoken Words?
  • Far-Left Open Borders Activists Keep Pushing More Outrageous Demands
  • One Has To Ask, Why There Is No Reasonable Debate On Global Warming?
  • Indoctrination Of The Next Generation Is Nearly Complete – College Kids Think Violence Is OK
  • George Soros and Bill De Blasio Promote Their Agenda At Global Mayor’s Summit
  • Alaska Social Services Fined $2.5 Million For Violating Food Stamp Program (SNAP)
  • People Living In The United States Who Speak Foreign Languages At Home Hit An All-Time High Last Year Of 65.5 Million
  • The Destruction Of Confederate Monuments Continues – Causing More Dissent In America
  • Owner Of New York Medical Clinics Sentenced To Prison For $55 Million Medicare And Medicaid Fraud Scheme
  • More Than 80,000 U.S. Military Members Remain Missing In Action (MIA)
  • California Challenges Federal Law, Approved A Bill To Make The State A Sanctuary For Illegal Aliens
  • FEMA Update (15 September) – Hurricane Response And Relief Operations
  • New Orleans Woman Convicted For Her Role In $2.1 Million Medicare Kickback Scheme