New York's Record-Breaking Social-Security-Fraud Case
Jillian Kay Melchior
One hundred and six people were indicted yesterday for allegedly defrauding Social Security Disability Insurance. The defendants include 72 retired police officers and eight retired firefighters who worked in New York City. Yesterday’s disability-fraud bust was the largest ever on record, since the SSA’sOIGwas established in 1995, the Social Security Administration’s Office of the Inspector General has just confirmed.
Before that, Social Security was administered by the Department of Health and Human Services, and it is unclear whether that agency ever prosecuted a larger disability-fraud case.
Federal and local officials say more related busts may soon follow as the investigation continues. They estimated as many as 1,000 individuals had participated in the disability-fraud scheme, drawing up to $400 million in undeserved benefits.