Tag: Indictment

Hobe Sound man indicted on federal fraud charges
Social Security Disability

Hobe Sound man indicted on federal fraud charges

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Wochit FORT PIERCE — A federal grand jury indicted a Hobe Sound man on charges including tax evasion, mail fraud and theft of government funds in connection with fraudulent disability payments, according to the U.S. Department of Justice.
The indictment against Arthur John Kranz, a doctor who specialized in psychiatry, was unsealed Thursday.
The application was approved.
Kranz was supposed to notify the Social Security Administration if he went back to work.
A Justice Department news release states Kranz worked as a psychiatrist in Pennsylvania between 2006 and 2013, earning more than $1.6 million that wasn’t reported to the Social Security Administration or the insurance company.
More: ‘Gamblers’ charged with fraud in connection with thefts from several arcades in Indian River County Kranz also is accused of trying to conceal his income from the Social Security Administration and the Internal Revenue Service.
Kranz is accused of getting more than $700,000 in fraudulent disability payments from the Social Security Administration and the insurance company.
In all, Kranz faces charges of tax evasion, mail fraud, wire fraud, theft of government funds and Social Security disability fraud.
More: Fort Pierce man one of hundreds charged in largest-ever elder fraud sweep by Justice Department

Woman with millions in real estate indicted on charges of scamming Social Security money

Woman with millions in real estate indicted on charges of scamming Social Security money

A Milwaukee woman who received food stamps, medical aid and other public assistance for years while failing to disclose income from $4 million worth of rental properties in Shorewood, South Milwaukee and elsewhere has been indicted by a federal grand jury.
Milwaukee County property and tax records and court documents showed Porush owned or had interest in the properties, some co-owned with her elderly mother.
Her mother, Lidia Kolchinsky, applied for public assistance as well and did not disclose any income from the rental properties.
When Porush and other public assistant applicants reported on a one-page form that they were self-employed or had no income, administrators of the taxpayer-subsidized programs accepted that as fact, with little or no additional verification, the Journal Sentinel found.
The indictment, filed last week, includes two counts of wire fraud totaling $1,420 and one count of making false statements, related to Porush’s application for Supplemental Security Income, or SSI, which was meant to help people with disabilities, blindness and those over 65.
Prosecutors in the Porush case declined to speak to the Journal Sentinel about the indictment.
If convicted, Porush would likely receive far less punishment based on federal sentencing guidelines.
Porush filed for bankruptcy twice in 2017, records show.
Porush filed again later in the year.
Meanwhile, the Wisconsin Department of Justice has filed a claim against Porush in the most recent bankruptcy case, seeking $151,563 it says she improperly received for food and medical assistance from 2009 to 2014.

Woman claimed her dead mother’s retirement benefits for 18 years, indictment says

Woman claimed her dead mother’s retirement benefits for 18 years, indictment says

Woman claimed her dead mother’s retirement benefits for 18 years, indictment says.
HAGNATA, Guam — A federal grand jury recently indicted a woman in connection with receiving hundreds of thousands of dollars in retirement benefits, intended for her mother, who died more than 18 years ago.
Rebeca Paloukos was indicted on one count of theft of government money.
Her father died in 1988, and her mother began receiving regular federal retirement benefits through the Civil Service Retirement System as his survivor, according to the indictment.
After Paloukos’ mother died in 1997, the U.S. Office of Personnel Management was not notified about her death, the indictment states.
From May 1997 through April 2015, the Civil Service Retirement System issued retirement benefit payments intended for Palaoukos’ mother to a First Hawaiian Bank account that Paloukos accessed after her mother’s death, court documents state.
“Paloukos used the funds for her own purposes,” the indictment states.
More than $297,000 was sent to the joint banking account over the nearly 18 year span, according to the indictment.

2 accused in $3 million food assistance fraud

2 accused in $3 million food assistance fraud

2 accused in $3 million food assistance fraud.
The indictment was handed down by the grand jury Tuesday.
Elham M. “Brenda” Abdul Rahim and Ahmad Zaki Abdul Rahim were both indicted on a count of conspiracy to commit wire fraud.
Elham Rahim also was indicted on counts of fraud and unauthorized use of food stamps, while Ahmad Rahim was also indicted on a count of lying to investigators from the U.S. Department of Agriculture.
The conspiracy count carries up to 20 years in prison, but the defendants are likely to get much less time in prison under federal sentencing guidelines if they are convicted.
Ahmad Rahim said Wednesday he didn’t know that he and his mother had been indicted and he denied being involved in any fraud.
He said his father, who has since died, used to run the store and he could not account for how he ran the operation.
According to the indictment: The Rahims used the store to exchange Supplemental Nutrition Assistance Program cards for cash.
The store would charge the government for the entire $400.
Ahmad Rahim also was charged with lying because in February he told investigators from the Department of Agriculture that he was “100% certain” that such fraud had not occurred.