Georgia Couple Pleads Guilty to Social Security, Veterans Affairs Fraud

From the U.S. Attorney’s Office, Northern District of Georgia:

ATLANTA - Kinsley Kilpatrick and Tracie Jeanne Kilpatrick have pleaded guilty to conspiracy to commit mail fraud by defrauding the Department of Veteran’s Affairs (“VA”) and the Social Security Administration (“SSA”) out of benefit monies by feigning disabilities. 

“These two defendants received over $60,000 a year in benefits to which they were not entitled,” said U.S. Attorney Byung J. “BJay” Pak.  “Additionally, the VA purchased a brand new Jeep that they would not have received but for their fraud.  These programs rely on the honesty of the participants, and those who take advantage will be prosecuted for their greed.”

David Spilker, Special Agent in Charge, Southeast Field Office, VA OIG, stated, “The Kilpatricks’ deceitful actions stole VA resources from a program designed to help disabled veterans obtain compensation for injuries incurred while in the military.  VA OIG’s continued oversight safeguards the integrity of VA’s programs.”

“The Social Security Office of the Inspector General is committed to protecting Social Security benefits and pursuing individuals whose deceitful and illegal actions target programs that exist for those who truly need them,” said Wayne R. Warren, Acting Special Agent-in-Charge of the SSA OIG Atlanta Field Division. “Therefore, we will continue to work with our law enforcement partners to investigate and prosecute individuals who try to defraud the SSA.”

According to U.S. Attorney Pak, the charges and other information presented in court: In 2015, Kinsley Kilpatrick, who received VA disability benefits, applied for and received additional VA disability benefits based on his fraudulent claim that he was restricted to a wheelchair and had 100 percent loss of use of arms and legs.  In support of his application, Kinsley and Tracie Kilpatrick completed false paperwork and falsely represented his medical condition at medical appointments.  In January 2016, based on this false information, the VA approved his application, appointed Tracie Kilpatrick to be his caretaker, and began paying him an additional nearly $5,000 per month in VA benefits. 

Meanwhile, in 2016, the defendants also falsely claimed to SSA that Tracie Kilpatrick was completely disabled from a seizure disorder.  In the paperwork submitted to the SSA, Kinsley Kilpatrick claimed, that he had to provide assistance to his wife for basic activities like bathing, toileting, and dressing.  Tracie Kilpatrick submitted paperwork asserting that she was unable to stand, walk, lift, carry, or drive.  Based on these fraudulent assertions, the SSA concluded that Tracie Kilpatrick was disabled and paid her disability benefits.  In truth, neither Kinsley nor Tracie Kilpatrick were as limited as they claimed and they were not entitled to the benefits they received based on their fraudulent misrepresentations. In fact, Kinsley Kilpatrick was not restricted to a wheelchair, and had full use of his arms and legs.  Tracie Kilpatrick had no serious functional limitations.  During the investigation, investigators video recorded Kinsley Kilpatrick doing back flips on a trampoline, and playing and coaching in a kickball league.  During surveillance, Tracie Kilpatrick was seen standing, walking, bending, driving, lifting, and carrying heavy items.

Kinsley Kilpatrick, 39, and Tracie Kilpatrick, 45, both of Powder Springs, Georgia, will be sentenced on June 6, 2019, at 10:00 a.m., before U.S. District Judge Leigh Martin May.  Additionally, the defendants agreed to forfeit the 2017 Jeep Cherokee that they purchased with VA funds.

This case is being investigated by the Department of Veterans Affairs - Office of Inspector General and Social Security Administration - Office of the Inspector General.

Special Assistant U.S. Attorney Diane C. Schulman is prosecuting the case.

ATLANTA - Kinsley Kilpatrick and Tracie Jeanne Kilpatrick have pleaded guilty to conspiracy to commit mail fraud by defrauding the Department of Veteran’s Affairs (“VA”) and the Social Security Administration (“SSA”) out of benefit monies by feigning disabilities. 

“These two defendants received over $60,000 a year in benefits to which they were not entitled,” said U.S. Attorney Byung J. “BJay” Pak.  “Additionally, the VA purchased a brand new Jeep that they would not have received but for their fraud.  These programs rely on the honesty of the participants, and those who take advantage will be prosecuted for their greed.”

David Spilker, Special Agent in Charge, Southeast Field Office, VA OIG, stated, “The Kilpatricks’ deceitful actions stole VA resources from a program designed to help disabled veterans obtain compensation for injuries incurred while in the military.  VA OIG’s continued oversight safeguards the integrity of VA’s programs.”

“The Social Security Office of the Inspector General is committed to protecting Social Security benefits and pursuing individuals whose deceitful and illegal actions target programs that exist for those who truly need them,” said Wayne R. Warren, Acting Special Agent-in-Charge of the SSA OIG Atlanta Field Division. “Therefore, we will continue to work with our law enforcement partners to investigate and prosecute individuals who try to defraud the SSA.”

According to U.S. Attorney Pak, the charges and other information presented in court: In 2015, Kinsley Kilpatrick, who received VA disability benefits, applied for and received additional VA disability benefits based on his fraudulent claim that he was restricted to a wheelchair and had 100 percent loss of use of arms and legs.  In support of his application, Kinsley and Tracie Kilpatrick completed false paperwork and falsely represented his medical condition at medical appointments.  In January 2016, based on this false information, the VA approved his application, appointed Tracie Kilpatrick to be his caretaker, and began paying him an additional nearly $5,000 per month in VA benefits. 

Meanwhile, in 2016, the defendants also falsely claimed to SSA that Tracie Kilpatrick was completely disabled from a seizure disorder.  In the paperwork submitted to the SSA, Kinsley Kilpatrick claimed, that he had to provide assistance to his wife for basic activities like bathing, toileting, and dressing.  Tracie Kilpatrick submitted paperwork asserting that she was unable to stand, walk, lift, carry, or drive.  Based on these fraudulent assertions, the SSA concluded that Tracie Kilpatrick was disabled and paid her disability benefits.  In truth, neither Kinsley nor Tracie Kilpatrick were as limited as they claimed and they were not entitled to the benefits they received based on their fraudulent misrepresentations. In fact, Kinsley Kilpatrick was not restricted to a wheelchair, and had full use of his arms and legs.  Tracie Kilpatrick had no serious functional limitations.  During the investigation, investigators video recorded Kinsley Kilpatrick doing back flips on a trampoline, and playing and coaching in a kickball league.  During surveillance, Tracie Kilpatrick was seen standing, walking, bending, driving, lifting, and carrying heavy items.

Kinsley Kilpatrick, 39, and Tracie Kilpatrick, 45, both of Powder Springs, Georgia, will be sentenced on June 6, 2019, at 10:00 a.m., before U.S. District Judge Leigh Martin May.  Additionally, the defendants agreed to forfeit the 2017 Jeep Cherokee that they purchased with VA funds.

This case is being investigated by the Department of Veterans Affairs - Office of Inspector General and Social Security Administration - Office of the Inspector General.

Special Assistant U.S. Attorney Diane C. Schulman is prosecuting the case.