About two-and-a-half years after numerous arrests and indictments were made in connection to a New York City-based Social Security disability fraud scheme, judicial actions are still ongoing, including the recent sentencing of a former NYPD officer following a criminal trial.
In June, a judge sentenced Kevin Hurley in Manhattan Supreme Criminal Court to 2.5 to 7.5 years in prison based on a conviction at trial to several charges, including grand larceny, in connection to his fraudulent receipt of Social Security disability benefits. Additionally, the judge ordered Hurley to pay a $400,000 fine to the State of New York, and he must repay about $238,000 to SSA.
Hurley was one of more than 100 individuals arrested and indicted in January 2014 for their involvement in the disability fraud scheme. We investigated the scheme in coordination with the Manhattan District Attorney’s Office and the New York City Police Department. In total, 106 people were indicted, including 102 disability beneficiaries and four facilitators—two recruiters, an attorney, and a disability consultant. A second surge of arrest activity of 28 individuals followed in February 2014.
Also in June, Glenn Lieberman, another retired NYPD officer, pled guilty to making false statements in connection with his claimed disabilities to SSA. From June 2009 through June 2013, Lieberman fraudulently collected about $175,000 in Social Security disability benefits. As a result of his guilty plea, he was sentenced to 250 hours community service and was ordered to pay restitution to SSA of $190,000. Additionally, he was required to pay a $60,000 New York State fine.
Finally, Geoffrey Davila, a retired New York City corrections officer, also recently pled guilty to making false statements to SSA in connection with his claimed disabilities. He fraudulently obtained disability benefits from February 2010 through June 2013. Davila was sentenced to 200 hours community service, and he was ordered to pay about $164,000 in restitution to SSA
To date, the OIG investigation into the New York City disability fraud scheme has resulted in more than 100 sentencings and ordered restitution to SSA of more than $25 million.
If you suspect Social Security fraud, you can submit an allegation to the OIG. You can file online through https://oig.ssa.gov/report: send U.S. Mail to the Social Security Fraud Hotline, P.O. Box 17785, Baltimore, MD, 21235; fax (410) 597-0118; or call (800) 269-0271 from 10 a.m. to 4 p.m. Eastern Time, Monday through Friday.