Missouri Woman Convicted by Trial Jury of Social Security Fraud

From the U.S. Attorney’s Office, Western District of Missouri:

KANSAS CITY, Mo. – An Osceola, Mo., woman has been convicted by a trial jury of stealing $47,340 in Social Security benefits.

Carol Ann Davis, 56, was found guilty on Wednesday, Dec. 12, 2018, of five counts of wire fraud and one count of theft of government money.

Davis was approved in April 2003 to receive disability insurance benefits. Her son was approved to receive auxiliary benefits, and Davis served as the representative payee for her son’s auxiliary benefits. Davis received monthly disability insurance auxiliary benefits earmarked for her son between June 2007 and December 2014. However, Davis’s son was not residing with her during that time frame, and she did not use the benefits for the care of her son. Davis, therefore, was not entitled to receive the auxiliary benefits.

Davis falsely reported that her son lived with her and that she spent the entirety of auxiliary benefits for the care of her son. In fact, her ex-husband gained residential custody of their son in June 2007.

Counts one through five of the indictment relate to five auxiliary benefits checks of $579 each that Davis received from August through December 2014.

Following the presentation of evidence, the jury in the U.S. District Court in Kansas City, Mo., deliberated for about two and a half hours on Wednesday before returning the guilty verdict to U.S. District Judge Brian C. Wimes, ending a trial that began Monday, Dec. 10, 2018.

Under federal statutes, Davis is subject to a sentence of up to 20 years in federal prison without parole on each of the wire fraud counts and up to 10 years in federal prison without parole for the theft count. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.

This case is being prosecuted by Special Assistant U.S. Attorney Courtney R. Pratten and Assistant U.S. Attorney Brian P. Casey. It was investigated by the Social Security Administration, Office of Inspector General.

KANSAS CITY, Mo. – An Osceola, Mo., woman has been convicted by a trial jury of stealing $47,340 in Social Security benefits.

Carol Ann Davis, 56, was found guilty on Wednesday, Dec. 12, 2018, of five counts of wire fraud and one count of theft of government money.

Davis was approved in April 2003 to receive disability insurance benefits. Her son was approved to receive auxiliary benefits, and Davis served as the representative payee for her son’s auxiliary benefits. Davis received monthly disability insurance auxiliary benefits earmarked for her son between June 2007 and December 2014. However, Davis’s son was not residing with her during that time frame, and she did not use the benefits for the care of her son. Davis, therefore, was not entitled to receive the auxiliary benefits.

Davis falsely reported that her son lived with her and that she spent the entirety of auxiliary benefits for the care of her son. In fact, her ex-husband gained residential custody of their son in June 2007.

Counts one through five of the indictment relate to five auxiliary benefits checks of $579 each that Davis received from August through December 2014.

Following the presentation of evidence, the jury in the U.S. District Court in Kansas City, Mo., deliberated for about two and a half hours on Wednesday before returning the guilty verdict to U.S. District Judge Brian C. Wimes, ending a trial that began Monday, Dec. 10, 2018.

Under federal statutes, Davis is subject to a sentence of up to 20 years in federal prison without parole on each of the wire fraud counts and up to 10 years in federal prison without parole for the theft count. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.

This case is being prosecuted by Special Assistant U.S. Attorney Courtney R. Pratten and Assistant U.S. Attorney Brian P. Casey. It was investigated by the Social Security Administration, Office of Inspector General.