Woman sentenced in VA fraud

A Nevada judge sentenced a Michigan woman Friday to three years in prison for a $1.7 million fraud scheme against the U.S. Department of Veterans Affairs.

Claudia Ann Merill, 62, pleaded guilty to one count of mail fraud in January, according to federal court records. Senior U.S. District Judge James Mahan also sentenced Merill to three years of supervised release and ordered her to forfeit the funds stolen and pay the VA an additional $1.7 million in restitution.

“The defendant orchestrated a million-dollar scheme to defraud the VA and to deceive the elderly veterans and surviving spouses whose names she used,” Nevada U.S. Attorney Nicholas Trutanich said in a statement.

“As part of the Department of Justice’s Elder Justice Initiative, our office and our partners are committed to safeguarding our seniors and prosecuting those who take advantage of them.”

From Jan. 1, 2014, through Oct. 1, 2019, Merill approached elderly veterans and surviving spouses and falsely told them they were eligible for VA benefits, court records show.

Merrill then offered to fill out applications for them and persuaded them to sign blank application forms and provide identification documents. She submitted the false applications for Veterans Pension and Aid and Attendance benefits in their names, records show.

As part of the scheme, Merrill also altered medical records so that the beneficiaries would appear to be eligible for the benefits. She then directed benefit payments into her own bank accounts without informing them.

In one case, Merrill sued a veteran, demanding that he pay Merrill the proceeds of her fraudulent scheme.

The case was investigated by the U.S. Department of Veterans Affairs office of inspector general and the FBI.