VA OIG Intensifies Efforts to Stop Scams Targeting Veterans’ Benefits and Pensions

The OIG is increasing its investigations to combat fraudsters and others exploiting veterans to access their VA benefits for personal gain. Predatory claims sharks are individuals that deploy wide-ranging fraud schemes to get veterans to pay them for assistance in filing VA benefits claims, when they are often unaccredited to do so. They frequently offer to help obtain or increase a veteran’s benefits, while asking for direct payment or a portion of the veteran’s benefits awarded in exchange. Working with law enforcement partners (VA OIG-led Operation NO SCAM), investigators are pursuing active cases nationwide with success, as demonstrated in recent actions.

In May, the US Attorney's Office for the District of Puerto Rico announced that the investigative work of the VA OIG, the Federal Bureau of Investigation, the San Juan Municipal Police, and the Department of Health and Human Services OIG resulted in federal charges against a VA employee and nine co-conspirators. The defendants are alleged to have falsified VA disability claims to obtain an unsupported 100 percent disability rating for numerous veterans in exchange for an upfront cash payment plus a percentage of any retroactive benefits awarded by VA.

And last week, the Cuyahoga County Prosecutor’s Office in Cleveland announced that the VA OIG’s collaboration with the Ohio Attorney General’s Office and the Ohio Department of Commerce resulted in charges against the founder and four employees of a purported charity for veterans. The defendants allegedly misled veterans by telling them they were eligible for pension benefits to which they were not actually entitled, submitted falsified supporting documentation to VA, and demanded either direct payment or a large percentage of the benefits before releasing the remainder to the veterans. VA paid over $20 million as a result of this alleged scheme.

Review the VA OIG crime alerts on public disability-based questionnaire fraud and the OIG fraud toolkit on pension poaching to learn how to help shut down these scams.