U.S. Rep. Sam Johnson (R-TX) highlighted legislative efforts to crackdown on fraud on Wednesday amid reports of indictments for prominent individuals allegedly involved in a disability insurance scheme.
The Department of Justice announced on Tuesday that a retired judge, an attorney and a psychologist in Kentucky and West Virginia were indicted in a scheme that allegedly defrauded taxpayers of more than $600 million in federal disability payments.
“We count on doctors, lawyers and Social Security’s employees to help those that deserve disability insurance benefits to receive them,” Johnson, the chairman of the House Ways and Means Subcommittee on Social Security, said. “Americans have a right to expect that these individuals in positions of trust aren’t defrauding the system. But if they do, it’s important that they are held accountable. I commend the Social Security Office of Inspector General, the FBI, the Internal Revenue Service Criminal Investigation, and the Department of Health and Human Services Office of Inspector General for uncovering this fraud.”
The defendants allegedly submitted false and fraudulent medical records to the Social Security Administration (SSA) over a 12-year period. Under the scheme, SSA disbursed more than $600 million in disability benefits in more than 2,000 cases, according to the indictment.
“This fall, we passed legislation which included ideas from my past bills to exclude evidence by doctors who have cheated the system before and to increase the penalties for fraud by those in positions of trust,” Johnson said. “As Social Security Subcommittee chairman, I am committed to making sure the Disability Insurance program is protected from fraudsters so it continues to be there for those who count on it.”