Blatant Disregard

274
19306390 - hand holding empty shopping basket - shopping concept

Sometimes welfare recipients unintentionally make mistakes on their applications for government benefits. Today’s fraudster, a York, Pennsylvania man, intentionally lied on multiple applications for Medicaid and Supplemental Nutrition Assistance Program benefits. He committed Medicaid fraud and SNAP fraud when he blatantly disregarded the government’s rules. Read on to find out just how much today’s fraudster tried to conceal.

The York man reportedly owned a gas station and a 2008 Mercedes Benz E350. (While the Mercedes Benz brand is synonymous with being pricey, the owner estimated his vehicle’s value was just under $4,000 due to its age.) Other assets owned by today’s fraudster included a four-bedroom home in York and a total of $56,109 in cash held in eight separate bank accounts at the time he applied for government benefits. (It’s important to note that the man received $1,124 each month in Social Security disability benefits as well.)

When the man from York applied for Medicaid and SNAP benefits, he incorrectly reported that he had no monthly income, owned only one property – his home, and had checking and savings accounts that totaled $1,000. (He left out the fact that he owned a Mercedes Benz.) According to today’s fraud article, the fraudster certified that the information provided on his application was correct, then promptly sold his gas station and made a profit of $87,016 which was promptly deposited into one of his bank accounts. (Did he really think that the government wouldn’t notice?)

The York man failed to notify the York County Assistance Office that he sold his gas station and profited from the transaction. Over a period of three months in 2015, the man received three wire transfers worth a total of $17,467. (He didn’t report that income either.) A month after receiving the last money transfer, he did send a semi-annual report to the York County Assistance Office, but claimed he had no financial resources other than his $4,000 Mercedes Benz and about $1,600 in cash. (A month after that, he received another $6,462 wire transfer that went unreported.) And, that’s not all folks. The Pennsylvania fraudster also received around $1,100 per month for two college students who rented rooms in his home. As you might guess, he didn’t report that either. (This guy is quite the fraud entrepreneur.)

This fraudster not only blatantly lied on applications multiple times, he also paid a visit to the FBI office in Harrisburg and told agents there that he did not receive rental income from the two students who lived at his residence. (That’s pretty bold, or just plain stupid.)

The York, Pennsylvania man pleaded guilty to obtaining $29,337 in government benefits he didn’t deserve. The 68-year-old committed healthcare fraud and SNAP fraud by blatantly lying. (Perhaps he thought that if he just kept presenting the same erroneous information over and over again, it would eventually come true.) Make no mistake, the government won’t let this blatant disrespect and disregard go unnoticed. Expect a very intentional prison term of up to 10 years, supervised release, fines and full restitution. (It’s sure to be a sentence this fraudster cannot ignore.)

Today’s “Fraud of the Day” is based on an article,York gas station owner with Mercedes, house pleads guilty to Medicaid, SNAP benefits fraud,” published by York Daily Record on February 5, 2019.  

A York man who owned a gas station and a Mercedes Benz, and had $56,000 in eight different bank accounts at the time he was getting Medicaid and food assistance, has pleaded guilty to health care fraud.

Nagy Mohamed Abdelhamed, 68, “fraudulently obtained approximately $29,337 in benefits,” according to the U.S. Attorney’s Office for the Middle District of Pennsylvania. Those benefits came in the form of Medicaid and Supplemental Nutritional Assistance Program, or SNAP benefits, formerly known as Food Stamps.

SHARE
Previous articleHospice Heist
Next articleNo Mo’ Money
Larry Benson
Larry Benson is currently the Director of Strategic Alliances for Revenue Discovery and Recovery at LexisNexis Risk Solutions. In this role, Benson is responsible for developing partnerships for the tax and revenue and child support enforcement verticals. He focuses on embedded companies that have a need for third-party analytics to enhance their current offerings.