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SSA Fraud Penalties

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What is the name of your state (only U.S. law)? CA

Can you tell me the penalties for an SSA recipient who is discovered hiding assets ..? Traceable assets, in this case, are in a bank account in the recipient's brothers' name.

Correction: SSA should read SSI (see poster's comments below)
 
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Onderzoek

Member
No penalties for retirement, disability or survivor Social Security benefits since it is not a welfare program.

For SSI (Supplemental Security Income), he can be billed for every penny he received from SSI and can face criminal prosecution if the money amounts are significant enough. How much hidden money is there? $500, $5000, $50,000, $500,000? How do you know? What proof is there the money is being hidden? What can you show SSA? Is there a paper trail that shows the money leaving the SSI recipient's bank account and going into the brothers'?
 
I meant to correct that typo yesterday from SSA to SSI and thank you for recognizing that. He is an SSI recipient.

It was $5000, the amount remaining from the arrears’ payment (backpay) social security paid when his SSI payments commenced. This is the opening deposit when the brother opened the account.

The paper trail I had in mind that might serve to prove my allegation is that checks have been written from that account, signed by the brother of course, and the beneficiary on every check has been the SSI recipient. All the checks were then endorsed and cashed at that bank by the SSI recipient.

The SSI recipient receives his monthly checks in the mail and does not have a bank account that he has reported to anybody.

I came about knowing this because the SSI recipient hired me to consult and provide clerical support after he was arrested for a DUI. Here is my beef: I did a lot of work for him; put in a lot of hours; he strung me along for payment until finally I made it clear that I would file suit in small claims court. He then began a nuisance campaign which includes destruction of some of my property that was kept in a common area where we are both residents (it’s a retirement community for independent low income seniors).

I’ve made several documented efforts to collect and behind the most recent one asked a mutual friend to attempt a mediation. The SSI recipient told our mutual friend that I was an alcoholic and that I am crazy – and that he has indeed paid me for the work I did ($300) plus having to support my drinking and smoking habits. Although my first preference would have been to get paid and be done with it, since it appears I will have to take him to small claims court to collect, I was glad for his comments – to a reliable witness – because that eliminates my concern I might have to PROVE he does owe me the money and the amount he stated is acceptable to me to put the whole thing away. Since he has never paid me anything, and the only thing he's ever paid for was our lunch on the day I went with him to pay his fine and restitution payments, he can't have any evidence since the event never happened. And I think his rude remarks tell it all about his character in a way I would never be able to expose.

Back to what might be supporting evidence, I accompanied the SSI recipient after he cashed one of these checks while he made fine and restitution payments, in cash, related to the DUI to the Public Defender’s Office, District Attorney and local Court. The sum of these payments far exceed his income from SSI …. if questioned, how can he account for having this cash?

I’m still thinking about how I intend to deal with the whole mess and back to “sticks and stones breaking my bones” I’m not particularly bothered by his talking trash about me, however, it is simply not true. I live a very honest transparent lifestyle and I am tired of taking abuse. I think I would like to see the facts presented without emotion and opinion and let the chips fall where they may.

Thank you for your input. It means a lot to me.
 
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Further to my previous post, I would be able to provide social security with the following:
• Name of SSI recipient
• Recipient social security number
• Name of brother holding bank account
• Bank account number
• Statement that recipient told me he gave opening deposit to his
brother to open account
• Statement that the recipient also told me (for these purposes here I
am paraphrasing) that the purpose of the bank account was to avoid
having these assets detected by social security, or any government
agency, so that he would appear to be an indigent adult if ever
social security, or any other government or private agency, ran a
financial check to verify information he provided to the effect that
he was indigent, in order to maximize any potential benefits for
which he might apply, and/or to avoid a reduction in his monthly ssi
payment. He was aware that his ssi checks would be reduced or
even stopped if he were to report this asset.
• Statement that “it is my understanding” that the only checks written
from that account are to the SSI recipient, endorsed by him, and
cashed.
My question is: is this enough information to initiate an audit or investigation by social security?
 
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