Penalty for Fraud
If an investigation reveals fraudulent activity, the case might be presented to federal, state, or local prosecutors for consideration of criminal prosecution or SSA might impose administrative sanctions.
Penalty for Scams
Section 1140 of The Social Security Act prohibits people, companies, and other organizations from misleading consumers by giving a false impression of an official association with, or endorsement by, Social Security, when soliciting or communicating with the public.
Federal law also prohibits the reproducing and selling of SSA forms and publications without authorization, and places restrictions on charging fees for services that Social Security provides for free, regardless of any disclaimer of affiliation with the U.S. Government or federal agency.
The Social Security Act authorizes the OIG to pursue injunctive relief for misleading communications and prohibit an individual or entity from engaging in activities that violate the law, and from the concealing, removing, encumbering and/or the disposing of assets.