Couple plead guilty to disability fraud [The Daily Independent, Ashland, Ky.]

Aug. 02--COVINGTON -- A Carter County couple have pleaded guilty to defrauding the government by receiving thousands in Social Security disability benefits to which they were not entitled.

Keith J. and Angela R. Wilburn of Olive Hill entered guilty pleas on Tuesday in U.S. District Court in Covington to a criminal information filed by federal prosecutors that same day charging them with aiding and abetting the theft of government money. A criminal information carries the same force of law as a grand jury indictment.

Judge David L. Bunning scheduled the couple's sentencings for Nov. 19. Both could receive up to five years in prison.

The couple's crimes occurred between May 2009 and July of last year in Boyd County, according to court records. The couple "concealed Keith Wilburn's ability to work, work he was performing and income he was earning from said work" from the Social Security Administration to receive benefits to which Keith Wilburn was not legally entitled, the couple's plea agreements state. The Wilburns concealed the information from the SSA because they knew Keith Wilburn's ability to work, employment and earnings would disqualify him from continuing to collect disability benefits.

According to the government, the Wilburns defrauded the SSA in the following manner: Keith Wilburn had his employer, Charles C. Meade II, structure the company's payroll to conceal approximately half his salary. From May to December of 2009, part of his salary was disguised in the form of preloaded debit cards given to him purportedly to pay for "business expenses."

From January 2010 through July 2012, the plea agreements state, Keith Wilburn's salary was divided between him and his wife, and Angela Wilburn was paid approximately half his salary even through she did not work for the company. The Wilburns knew if Keith Wilburn's earnings were accurately reported, he would no longer receive disability benefits, according to the government.

Also, during the course of the investigation, Angela Wilburn made false statements to law enforcement officials on two occasions, her plea agreement states. Only July 31 of last year, she told investigators Meade's company was paying her a salary because she was working 15 to 20 hours a week for it, when, in fact, she was not. She also claimed her husband worked only 20 to 30 hours a week for the company, which was also untrue.

Keith Wilburn's actions caused a loss to the government of $52,472, while his wife's caused a loss of $16,912, records state.

Bunning allowed the Wilburns to remain free on their own recognizance pending sentencing.

KENNETH HART can be reached at [email protected] or (606) 326-2654.

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