PLATTSBURGH — In Clinton County, one prosecutor and an investigator work only on fraud cases.
Their efforts are funded by a Crimes Against Revenue Program (CARP) grant, one of just 22 awarded to New York state counties by the New York State Division of Criminal Justice Services this year.
The $82,000 funding is intended to allow focuses on crimes against public revenue, such as welfare, Medicaid, or unemployment and Workers Compensation fraud. It helps investigate people who fail to pay taxes on both legally and illegally gained income, cigarette smuggling and other types of fraud, too.
ALL TAXPAYERS LOSE
There are, said Diana Livermore, administrative assistant at the Clinton County District Attorney’s Office, numerous cases already being prosecuted in Clinton County under the grant.
“It’s important for people to understand that these frauds affect every taxpayer in the county,” she said. “If these monies are being fraudulently spent, they aren’t going to roads, police, or other places where they are needed.”
Of the cases already handled by the District Attorney’s Office Livermore notes that most have been frauds involving small amounts of money, but, she added, it’s still money that could be going to someone who deserves it.
Other cases, however, have involved much larger frauds.
One example is Neil A. Ahrent, 46, of Plattsburgh, who was arraigned on May 26 on one felony count of third-degree insurance fraud. Charges stemmed from allegations that Ahrent was receiving Workers Compensation payments while he was selling illegal drugs.
Under New York state law, even illegal income is considered income.
Ahrent pled guilty to a reduced charge of fifth-degree Workers Compensation fraud in July. He paid restitution in the amount of $15,252.09, and he is prevented from receiving any further Workers Compensation benefits associated with his claim.
ANONYMOUS TIP LINE
Another case involves Donald R. Velie Jr., 43, of Saranac, who was arraigned August 25 in Clinton County Court on seven fraud-related charges, including two counts of first-degree perjury, one count of third-degree grand larceny, three counts of first-degree offering a false instrument for filing and one count of Workers Compensation fraudulent practices.
It is alleged that Velie, a correction officer, accepted Workers Comp benefits while he worked as a private contractor in Clinton County. His case has been adjourned until Oct. 31.
As an integral part of ongoing Crimes Against Revenue investigations, the District Attorney’s Office has set up a tip line where people can report cases of fraud.
Livermore said fraud can take any number of forms, among them cigarette smuggling, failure to claim legal or illegal income and failure by welfare recipients to report a significant other living with them.
“Almost everyone knows someone who is committing some type of fraud,” she said. “The tip line is anonymous, and the more information people are able to give us, the better able we will be to investigate.
MAKE THE STATE WHOLE
“Restitution is the main thing here,” said Assistant District Attorney Nick Evanovich, who leads the Crimes Against Revenue prosecution team. “Anyone can make a mistake. On something like this, we may be willing to work with you if you are willing to come forward and take responsibility and make the state whole.”
The program will ultimately become self-sustaining, the DA’s office said, with monies recouped from prosecutions going back into funding it in years to come.
http://liarcatchers.com/fraud_investigation.html
“The money ultimately goes back to the state, then they can reinvest it back into infrastructure and boost funding levels of other programs that have been cut because of the economy,” Livermore said.
“The state has invested $26 million into the program, and they expect it to bring in $86 million,” said Evanovich.
Recent arrests also include Angela Sheffer-Gonyea, 44, of Plattsburgh, who was arraigned last week on one count each of third-degree grand larceny, one count of first-degree offering a false instrument for filing and Workers Compensation fraudulent practices, all felonies.
It is alleged that Sheffer-Gonyea, a former registered nurse with the Clinton County Home Healthcare Unit, has continued to work in her own capacity without reporting that fact to her insurance carrier.
She is scheduled to return to court on Nov. 21.
