Friday, November 24, 2017

Judge defrauded Social Security for $550 million; gets only 4 years in prison

The following article appeared in the Washington Times on August 24th

Trial Judge blasts DOJ for light sentence suggestion

By Stephan Dinan 

The Social Security judge who rubber-stamped more than 1,700 bogus disability applications as part of the largest disability fraud ring in American history was sentenced to four years in federal prison Friday.
Judge David Daugherty

David B. Daugherty left the Kentucky courtroom in handcuffs after Judge Danny C. Reeves rejected the government’s recommendation of a year in home confinement, and instead gave him the maximum time allowed on the charges he pled guilty to. 

The judge also ordered Daugherty to pay $93 million in restitution to the government, according to witnesses in the courtroom.

Daugherty was part of the disability fraud ring orchestrated by Eric C. Conn, one of the country’s most prominent Social Security lawyers.

Authorities say the scam totaled $550 million in bogus lifetime payouts, which Conn submitted, along with fraudulent backup evidence, and Daugherty approved.

Daugherty resigned as an administrative law judge after the scam was exposed in 2011, and has been living in Myrtle Beach, South Carolina, where members of Congress were distraught to learn he still collected his pension. 
Eric Conn

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