Man Arraigned On Larceny Charge For Stealing $225K In SSDI Benefits

Social Security Disability Insurance (SSDI) is for those who cannot work due to a disability. These benefits are meant to replace income, not supplement it for someone who can work.

A Nevada man has been indicted on allegations that he unlawfully collected more than $225,000 in Social Security disability benefits that continued to be paid after his wife’s death in 2014.

The 56-year-old man was arraigned on one count of second-degree grand larceny, a Class C felony. He pleaded not guilty and was released on his own recognizance pending a future court appearance. If convicted, he could face a prison sentence of 5 to 15 years.

The case began after the Social Security Administration’s Office of the Inspector General determined that disability insurance benefits were being improperly paid on behalf of a deceased beneficiary. The investigation was part of an initiative aimed at identifying deceased beneficiaries whose deaths had not been reported and who remained in active or suspended payment status.

According to investigators, the beneficiary died in August 2014 while receiving monthly disability payments from the Social Security Administration. The defendant was listed as the informant on the death certificate. At the time of her death, benefits totaling $2,195 per month were being deposited into a joint bank account shared by the couple.

Investigators allege that the defendant continued accessing the funds after his wife’s death, regularly withdrawing and transferring the payments to another account for personal use. Authorities say the payments continued until October 2024, when the Social Security Administration requested that the benefits be terminated.

Between August 2014 and October 2024, the man allegedly received approximately $227,258 in benefits to which he was not entitled. He was arrested in Nevada in May 2026 and later extradited to New York to face the charges.

Prosecutors allege that the defendant continued collecting benefits intended for his deceased spouse for nearly a decade and ignored multiple attempts by the Social Security Administration to address the erroneous payments. Officials emphasized that the integrity of Social Security programs depends on beneficiaries and family members accurately reporting deaths and other changes in eligibility.

Federal investigators stated that failing to report the death of a Social Security beneficiary can result in significant financial losses to the program and taxpayers, adding that they remain committed to pursuing cases involving fraud and misuse of public benefits.

Learn More About Social Security Disability Benefits

SSDI benefits are for the deserving. They are not for those who can work. Those who intentionally defraud the system will eventually get caught.

The Social Security Administration prides itself on investigating those who exploit these programs. A White Plains Social Security Disability lawyer from The Law Office of Michael Lawrence Varon can assess your situation and ensure you get the financial help you need after suffering a debilitating disability. Call (914) 228-1770 or fill out the online form to schedule a consultation with our office today.

Source:

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