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Thursday, April 7, 2016

Federal Judge Busted For HUGE Social Security Fraud

Image result for federal administrative law judge David B. Daugherty

by:Colleen Conley 
A scheme massive in size and scope...
While many Americans worry that Social Security is on an unsustainable path and benefits may not be there when retirees need them, a massive scheme of corruption allegedly involving a federal judge shows the level of deceit and abuse that can drain money from the system.
Federal authorities are reportedly in the final stages of closing out one of the biggest frauds in the history of the program — specifically involving the segment of Social Security benefits for those who receive disability payments.

Supplemental Security Income (SSI) is doled out by the Social Security Administration (SSA) to disabled adults and children with limited income and resources. It is particularly vulnerable to abuse as demonstrated by the scheme allegedly cooked up by a lawyer who organized bogus applicants, doctors who approved fake medical forms, and an administrative judge who handpicked the fraudulent applications and approved them.
According to the Washington Times, Kentucky attorney Eric C. Conn allegedly submitted more than 2,000 false claims that sparked a congressional hearing during which he was accused of shredding 26,000 pages of documents to try to cover his tracks.

Conn was indicted this month along with federal administrative law judge David B. Daugherty, and Alfred Adkins, a board-certified psychologist. All three have pleaded not guilty to a total of 18 counts of federal charges in U.S. District Court in Lexington. Conn, who prosectors contend is a flight risk, remains in custody.

Authorities say the three men and unnamed co-conspirators made more than $10 million from their scheme — ill-gotten income that the government is attempting to recover. They allegedly tried to bilk the SSA out of more than $600 million in fraudulent disability benefits. If convicted, they could all be sentenced to life in prison.
Meanwhile, the SSI recipients are still receiving their falsely obtained benefits. When the administration informed the applicants that they would have to start over to prove their disabled status, powerful Kentucky Rep. Harold Rogers — chairman of the House Committee on Appropriations — stepped in, insisting that those receiving the SSI checks needed the money.
The massive corruption was uncovered by whistle-blower employees within the SSA. Former Oklahoma Sen. Tom Coburn — a medical doctor who headed the congressional hearings on the matter — praised them, saying:

“This came about through great investigative work and great courage by Social Security and lawyer employees who actually were willing to risk their jobs to do what’s right for the country.”
Coburn also stated that such fraud can only exist when the government — both Congress and the administration — are not paying attention, and they must be more vigilant.
 

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