In Norwood, a recent case saw a woman ordered to repay over $310,000 to the federal government after confessing to the misappropriation of workers’ compensation and Social Security disability benefits.
Karen Nolan, a 66-year-old former owner of a dermatology practice in Norfolk, found herself entangled in legal trouble. Her involvement began in April 2019 when she falsely informed the Social Security Administration (SSA) that she had ceased work in 2017 due to a medical disability. Subsequently, in May 2021, Nolan continued this misleading narrative by providing false information to the Office of Workers’ Compensation Programs (OWCP).
Interestingly, during these two years, Nolan was actively practising as a self-employed dermatologist while fraudulently acquiring federal workers’ compensation benefits and Social Security disability benefits.
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Acknowledging her guilt in September, Nolan faced the legal repercussions, admitting to two counts of theft of public funds and two counts of making false statements. The sentence imposed on her included three years of supervised release, with the initial six months spent in home confinement. Additionally, as part of her penalty, Nolan was mandated to reimburse $235,563 to the Department of Labor, Office of Workers’ Compensation Programs (OWCP), and $78,446 to the SSA.
This case highlights the seriousness of misrepresenting disability and employment status to obtain undeserved federal benefits. Such actions not only breach the trust of government programs but also divert resources from those genuinely in need. The sentence serves as a deterrent, emphasizing the legal consequences for fraudulent claims, intending to dissuade others from engaging in similar deceitful practices.
The comprehensive restitution amount reflects the significant sum acquired through Nolan’s false claims, aiming to restore the wrongfully obtained funds to the respective federal programs. This incident underscores the government’s commitment to upholding the integrity of benefit systems and ensuring accountability for those exploiting them.