Binghamton Woman Admits to Stealing Her Child’s Social Security Benefits After Child Was Removed from Her Custody

SYRACUSE, NEW YORK – Loretta Washington, age 60, of Binghamton, New York, pled guilty yesterday to multiple charges of social security fraud, United States Attorney Carla B. Freedman and Amy Connelly, Special Agent in Charge of the Social Security Administration Office of Inspector General (SSA-OIG), New York Field Office announced.

As part of her guilty plea yesterday, Washington admitted that she had applied for and was receiving social security benefits for her minor child, as her representative-payee. A representative-payee is a person or organization selected by the SSA to receive benefits on behalf of a beneficiary who is unable to manage their payments. In September 2018, Broome County Department of Social Services removed the minor from Washington’s custody after the minor—who was four years old at the time—was found walking on a road in the middle of the night. Washington never reported the change in custody to the Social Security Administration and, at one point, lied to the Social Security Administration that the child was still in her custody. In total, Washington stole over $25,000 in social security benefits between October 2018 and November 2021.

Washington faces a maximum sentence of 5 years in prison, a fine of up to $250,000, and a term of supervised release of up to three years. She will also be required to pay restitution to the Social Security Administration.  A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors. Sentencing is scheduled for February 13, 2025, in Syracuse.

This case was investigated by the Social Security Administration Office of the Inspector General and is being prosecuted by Special Assistant U.S. Attorney Paul J. Tuck.