Social Security Fraud – Gaylynne Gale faces up to 10 years in federal prison…ouch…heavy price for a small benefit.

August 1, 2011

A 63-year-old Longview, Texas woman has pleaded guilty to social security fraud charges in the Eastern District of Texas, announced U.S. Attorney John M. Bales.  Facing up to 10 years in prison, Gaylynne Gale pleaded guilty to theft of government property charges today before U.S. Magistrate Judge Chad Everingham.

According to the indictment, from February 2004 until June 2010, Gale intentionally concealed her living arrangements with her ex-husband in order to receive more than $47,000 from the Social Security Administration in the form of Social Security Supplemental Security Income payments.  Her misrepresentation also caused a significant loss to the Texas Medicaid Program.  Gale was indicted by a federal grand jury on Sep. 1, 2010.

The Social Security Administration’s Supplemental Security Income (SSI) program is a federally administered cash assistance program designed to provide a floor of income for the aged, blind, or disabled who have little or no income or resources.  The Texas Medicaid program helps pay for reasonable and necessary medical procedures and services provided to individuals who are deemed eligible under state low-income programs.


Social Security fraud is nothing to play with…just ask Samuel J. Delsignore!

July 30, 2011

A resident of New Salem, Pa., has been indicted by a federal grand jury in Pittsburgh on charges of Social Security fraud and false statements.

The two-count indictment, returned on July 19, named Samuel J. Delsignore, 50, as the sole defendant.

According to the indictment, on Aug. 14, 2009, during a Social Security Administration redetermination of benefits eligibility, Delsignore concealed assets consisting of an interest in his father’s estate, bank accounts, two tri-axle trucks and a classic car.  It is also alleged that, during an Oct. 14, 2010, interview with a Special Agent, Delsignore falsely represented the $21,000 sales price of his 1967 Pontiac GTO as being $1,500.

The law provides for a maximum total sentence (at each count) of five years in prison, a fine of $250,000, three years of supervised release and a $100 special assessment.  Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.


The Great American Ponzi Scheme! Is Bernie Madoff any different than our Government?

January 4, 2010

Wouldn’t it be nice to share some good news?  I’d like to think as we enter this new decade that we could learn from the past and move boldly into the future with the assurance of a bright tomorrow.  Well, tomorrow may not be so bright if we don’t stop and look at our choices.

Every choice has a consequence!  I say that often as I address groups around the nation on ethics and ethical choices. From my perspective it seems that we, as a nation, are facing a serious ethical quandary.  Do we continue the rabid spending that has defined this past decade or do we accept the responsibility for where we are and elect to live within our means?

I know…I know – economists from all parts of the country would quickly argue with me that debt is sustainable and that we only have a problem if we can’t pay it back.  My response:  Bull.  As far as I am concerned…we are acting unethically and the consequences will be disastrous if we don’t soon take corrective action.

Facts: In 2000 our debt was a bit more than $5.5 Trillion.  By 2005 our national debt was around $7.5 Trillion and by the beginning of 2010 – well our national debt had crested above $12 Trillion.  That’s right – our national debt more than doubled in one short decade.  And, with the aging of the largest group of people in the history of this nation – the Baby Boomers – we will see nothing but increased debt for the next several decades unless we take dramatic action.

I ask is Bernie Madoff any different than our Government?  In Bernie’s case his victims didn’t know what was happening.  I bet if they did – they wouldn’t have invested with him.  In the case of our Government – we the taxpayers know – and yet, we still seem to be O.K. with the actions our elected officials take.  The crime is the same…the only difference is – it’s not a crime if you allow it to take place.  Folks, a Ponzi scheme is a Ponzi scheme no matter how you color the picture.

For a quick view of my video blog on this subject click here

The question is – what are we willing to do?  If we pay the promises made in the past to those who are aging to receive them…we might find ourselves bankrupt.

Share your opinions on the solutions to this problem through your comments.  Who knows…perhaps someone in big GOVERNMENT might be reading and take note.

Taking a Dead Persons Social Security and Pension Earns Rolf Groer a Conviction!

May 19, 2008

And while I’m on the subject of Social Security Fraud (that was what my last post was about) – thought some might like this strange story of choices and consequences.

United States Attorney Mary Beth Buchanan announced that Rolf Groer, age 48, a resident of Allegheny County, has been sentenced in federal court in Pittsburgh, Pennsylvania to 5 years probation, including 12 months of community confinement, and ordered to pay approximately $22,000 in restitution as well as a $5,000 fine on his conviction of theft of government property and theft from an employee pension benefit plan.

According to information presented to the court Groer, between January of 2004 and September of 2006, embezzled approximately $27,904.00 in Social Security benefits, and approximately $14,699.19 in pension benefits paid by The Boeing Company. The Social Security and pension benefits were issued in the name of a person who had died in December of 2003.

As a business ethics and white collar crime speaker, I am a bit amazed that Groer got off with what seems to be a light sentence. But make no mistake, community confinement and 5 years probation is not insignificant. Groer’s life will change and any benefit he may think he got will be erased as he is now a convicted felon – which carries with it consequences.

As I say in most of my presentations, every choice has a consequence!

Business Ethics and White Collar Crime speaker – Chuck Gallagher – signing off…

Social Security Fraud Could Earn 27 Year Old Shawn R. Johnson Prison Time!

May 19, 2008

So you think you can pull the wool over the eyes of the government? Not so fast. Every choice has a consequence and one of the things that some of us learn the hard way is – what you do in the dark will be brought to the light. In other words, if you do something that is wrong it will be discovered.

You reap what you sow! I know. I sowed bad seeds and reaped the consequences. And now it seems that the same may be true for a young 27 year old.

Shawn R. Johnson, of Fayette County, Pennsylvania, has been indicted by a federal grand jury in Pittsburgh on a charge of Social Security Fraud.

The one-count indictment named Shawn R. Johnson, age 27.

According to the indictment, Johnson failed to disclose to the Social Security Administration employment with and earned income from Polito Custom Carpet, located in Hopwood, Pennsylvania, and that such events affected his continued right to receive Supplemental Security Income benefits.

COMMENT: Now I can assure my readers that the minor benefit that Johnson received is not worth the cost he will pay. Facing up to 5 years in prison, a fine of $250,000, or both, Johnson will soon understand that cost of wrong choices is substantial.

Every choice has a consequence is a comment I make in most presentations. As a white collar crime speaker, I speak from first hand experience about the truth about consequences. Reality is – no one escapes the consequences of their choices. While Johnson may have enjoyed the money for a time and avoided the consequences – they did not avoid the consequences all together. Prison is no fun and Johnson is facing several years plus substantial restitution for this conviction. Likely he will serve time and that will prove to be a dramatic change from his prior activities. You do reap what you sow.

White Collar Crime Speaker – Chuck Gallagher – signing off…