Fraud Investigation Frankfort Woman Indicted for Defrauding State Benefits

A Frankfort woman has been indicted for defrauding the very department she once worked for.

34-year-old Stephanie Newton is accused of collecting thousands in Medicaid benefits and Food Stamps while she worked 12 different jobs, including a couple of state jobs – one of them in the state office of Medicaid Services.

“She’s looking at owing the state about $20,000,” said Emily Wilkey, Assistant Commonwealth Attorney.

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According to her indictment, between 2009 and May of 2013, Newton made false statements about her income and received more than $11,000 in Food Stamps and nearly $10,000 in Medicaid benefits.

“What she did was criminal because a lot of people receive benefits and report accurately; they get enough to get by,” Wilkey said.

Prosecutors say it was only when Newton left one state job to the Medicaid job did she finally report her proper income.

“My guess is when she switched to Medicaid Services she realized they could verify whether or not she was employed, and she changed her tactics,” Wilkey said.

Because this is Newton’s first criminal offense of record, there’s a good chance she can, if convicted, rid the felony from her history if she stays out of trouble and pays back the money.

“Her getting over benefits might have prevented somebody else from getting benefits they needed,” said Wilkey.

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