Oklahoma Couple Found Guilty of Social Security Disability Fraud Scheme

From the U.S. Attorney’s Office, Eastern District of Oklahoma:

MUSKOGEE, OKLAHOMA - The United States Attorney’s Office for the Eastern District of Oklahoma announced that MICHAEL FERRARIE EUBANKS, age 57, of Atoka, Oklahoma, and HYDIE ROYLENE EUBANKS, age 58, of Atoka, Oklahoma, were found guilty, by a federal jury, for THEFT OF GOVERNMENT FUNDS, in violation of Title 18, United States Code, Sections 641 and 2; CONCEALMENT OF A MATERIAL FACT, in violation of Title 42, United States Code, Section 408(a)(4) and Title 18, United States Code, Section 2, and FALSE STATEMENT, in violation of Title 42, United States Code, Section 408(a)(2) and Title 18, United States Code, Section 2. The jury trial began with testimony on Tuesday, February 21, 2017 and concluded on Thursday, February 23, 2017 with the guilty verdict.

Evidence at trial proved that from in or about September 2010, and continuing through March 10, 2016, within the Eastern District of Oklahoma, defendants, MICHAEL FERRARIE EUBANKS and HYDIE ROYLENE EUBANKS, did knowingly and willfully embezzle, steal, and convert to their own use, money and things of value from the Social Security Administration (“SSA”), a department or agency of the United States, which money had been paid to the defendants as Social Security disability payments for the benefit of MICHAEL FERRARIE EUBANKS to which the defendants knew MICHAEL FERRARIE EUBANKS was not entitled, and having a value in excess of $1,000.00.

Evidence at trial further proved that from on or about September 2010, and continuing through March 10, 2016, in the Eastern District of Oklahoma, defendants MICHAEL FERRARIE EUBANKS and HYDIE ROYLENE EUBANKS, in a matter within the jurisdiction of Social Security Administration, having knowledge of the occurrence of an event affecting the right to receive or continue to receive Social Security Disability Income payments, concealed and failed to disclose such event with the intent to fraudulently secure payment when no payment was authorized. Specifically, defendants MICHAEL FERRARIE EUBANKS and HYDIE ROYLENE EUBANKS intentionally concealed that MICHAEL FERRARIE EUBANKS secured gainful employment in order to receive and continue to receive Disability Income payments made by the Social Security Administration to them. By such action, defendants MICHAEL FERRARIE EUBANKS and HYDIE ROYLENE EUBANKS took approximately $67,633.00 in Social Security Disability Income payments to which they were not entitled.

Evidence at trial further proved that on or about November 30, 2015, in the Eastern District of Oklahoma, defendants MICHAEL FERRARIE EUBANKS and HYDIE ROYLENE EUBANKS, did knowingly make or cause to be made any false statement or representation of a material fact to the Social Security Administration in any application for any payment or for a disability determination. Specifically, MICHAEL FERRARIE EUBANKS and HYDIE ROYLENE EUBANKS jointly completed a Continuing Disability Review Report wherein MICHAEL FERRARIE EUBANKS and HYDIE ROYLENE EUBANKS stated that MICHAEL FERRARIE EUBANKS had not worked since the date of MICHAEL FERRARIE EUBANKS last medical disability determination.

The verdict obtained was the result of an investigation by the Social Security Administration’s Office of Inspector General.

Honorable Ronald A. White, District Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, presided over the trial and ordered the completion of a presentence report. Sentencing will be scheduled following its completion. The defendants will remain out on bond pending sentencing.

Assistant United States Attorney Melody Nelson and Assistant United States Attorney Rob Wallace represented the United States.

 

MUSKOGEE, OKLAHOMA - The United States Attorney’s Office for the Eastern District of Oklahoma announced that MICHAEL FERRARIE EUBANKS, age 57, of Atoka, Oklahoma, and HYDIE ROYLENE EUBANKS, age 58, of Atoka, Oklahoma, were found guilty, by a federal jury, for THEFT OF GOVERNMENT FUNDS, in violation of Title 18, United States Code, Sections 641 and 2; CONCEALMENT OF A MATERIAL FACT, in violation of Title 42, United States Code, Section 408(a)(4) and Title 18, United States Code, Section 2, and FALSE STATEMENT, in violation of Title 42, United States Code, Section 408(a)(2) and Title 18, United States Code, Section 2. The jury trial began with testimony on Tuesday, February 21, 2017 and concluded on Thursday, February 23, 2017 with the guilty verdict.

Evidence at trial proved that from in or about September 2010, and continuing through March 10, 2016, within the Eastern District of Oklahoma, defendants, MICHAEL FERRARIE EUBANKS and HYDIE ROYLENE EUBANKS, did knowingly and willfully embezzle, steal, and convert to their own use, money and things of value from the Social Security Administration (“SSA”), a department or agency of the United States, which money had been paid to the defendants as Social Security disability payments for the benefit of MICHAEL FERRARIE EUBANKS to which the defendants knew MICHAEL FERRARIE EUBANKS was not entitled, and having a value in excess of $1,000.00.

Evidence at trial further proved that from on or about September 2010, and continuing through March 10, 2016, in the Eastern District of Oklahoma, defendants MICHAEL FERRARIE EUBANKS and HYDIE ROYLENE EUBANKS, in a matter within the jurisdiction of Social Security Administration, having knowledge of the occurrence of an event affecting the right to receive or continue to receive Social Security Disability Income payments, concealed and failed to disclose such event with the intent to fraudulently secure payment when no payment was authorized. Specifically, defendants MICHAEL FERRARIE EUBANKS and HYDIE ROYLENE EUBANKS intentionally concealed that MICHAEL FERRARIE EUBANKS secured gainful employment in order to receive and continue to receive Disability Income payments made by the Social Security Administration to them. By such action, defendants MICHAEL FERRARIE EUBANKS and HYDIE ROYLENE EUBANKS took approximately $67,633.00 in Social Security Disability Income payments to which they were not entitled.

Evidence at trial further proved that on or about November 30, 2015, in the Eastern District of Oklahoma, defendants MICHAEL FERRARIE EUBANKS and HYDIE ROYLENE EUBANKS, did knowingly make or cause to be made any false statement or representation of a material fact to the Social Security Administration in any application for any payment or for a disability determination. Specifically, MICHAEL FERRARIE EUBANKS and HYDIE ROYLENE EUBANKS jointly completed a Continuing Disability Review Report wherein MICHAEL FERRARIE EUBANKS and HYDIE ROYLENE EUBANKS stated that MICHAEL FERRARIE EUBANKS had not worked since the date of MICHAEL FERRARIE EUBANKS last medical disability determination.

The verdict obtained was the result of an investigation by the Social Security Administration’s Office of Inspector General.

Honorable Ronald A. White, District Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, presided over the trial and ordered the completion of a presentence report. Sentencing will be scheduled following its completion. The defendants will remain out on bond pending sentencing.

Assistant United States Attorney Melody Nelson and Assistant United States Attorney Rob Wallace represented the United States.