Woman charged with defrauding state

LEWISTON — An Androscoggin County grand jury has returned an indictment against Kathleen M. Schidzig, a South Portland woman who faces charges of defrauding state benefit programs of $10,000 over two and a half years.

The charges come as Maine Attorney General Janet T. Mills has begun cracking down on fraud cases involving abuse of state safety-net programs.

Grand juries in Androscoggin, Cumberland and Franklin counties have returned indictments over the past two weeks regarding fraud by state program recipients, according to a statement released Tuesday by the Maine Attorney General's Office.

The AG's office has hired a new fraud prosecutor "to pursue additional cases of abuse," according to the statement. Assistant Attorney General Peter Black, a graduate of Fairleigh-Dickinson University and the University of Georgia and a former U.S. Navy lieutenant, has been working with the AG for a month, "but has already brought several indictments for the misuse of various state-administered programs," the statement said.

An indictment is an official charge based on evidence presented by a prosecutor to a citizen jury.

The indictment handed up last Wednesday against Schidzig charges one count of theft by deception, one count of aggravated forgery and three counts of unsworn falsification. The alleged crimes occurred between Oct. 30, 2007, and Feb. 1, 2010, according to the indictment.

The charges stem from an alleged attempt to defraud the Temporary Assistance for Needy Families and Additional Support for People in Retraining and Education programs. The prosecution has charged that Schidzig defrauded these programs of more than $10,000.

In the past year and a half, according to the statement released Tuesday, the Attorney General's Office has successfully prosecuted 13 individuals for recipient fraud. The cases included abuse of the TANF and ASPIRE programs, as well as diversion of Electronic Benefits Transfer cards and misuse of food stamps, the MaineCare program and housing benefits.

In the past fiscal year, according to the statement, the Attorney General's Office has "recouped more than $7.6 million ... from the misuse of health care safety net programs by providers," much of that resulting from recoveries related to "illegal practices by pharmaceutical companies who obtained taxpayer dollars through improper marketing of drugs."

"Maine's taxpayers should not tolerate people who abuse the system, big or small, rich or poor," Mills said. "We all want a government that is accountable and wise. Taxpayers deserve no less." 

The statement urged anyone with specific information about fraud at hospitals, nursing homes or other health care institutions to call the Attorney General's HealthCare Crimes Unit at (207) 626-8870.

The Maine Department of Audit has had a fraud hotline since 2008. Any citizen who has specific information about fraud or abuse or other improper or illegal acts against the state should call the fraud hotline at (207) 624-6250 or e-mail that office at fraud.audit@maine.gov.

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Displaying comments, from newest to oldest

RReady15's picture

Aren't the people letting

Aren't the people letting this happen just as liable? It reminds me of the recent stories about banks foreclosing on houses without actually doing the research and kicking good people out of their homes.

Shouldn't the people who OK these things be responsible for the damages because they didn't research and just pencil-whipped the welfare applications?

angelsx34eva's picture

Give Me A Brake...Opps..I Meant..Break...

Gil..you forgot..they're...meaning they are....First you say you agree with my comment...then you say the only thing you got out of it is that all I have is a 5th grade education...could you be more specific the next time..You've got me confused...you know..with my 5th grade education..I'm not sure if you agreed with me or not...

Gil's picture

Sorry

I agreed with you, I was just saying use a little care when writing. I didn't include they're because you didn't use it.

ares's picture

Be proactive...

Though it is good to see the State finally on the offensive in this arena it seems to make more sense to (quoting that great American Barney Fife) "nip it in the bud". In my estimation it makes more fiscal sense for the State to spend a couple million dollars a year hiring the personnel it would take to ensure recipients of various programs are not only in need but are also using the funding as described and intended. If you are in receipt of State monies for housing, heating assistance, food stamps, TANF, ASPIRE, etc..., it should be completely expected that a State DHHS program funding enforcement agent will be visiting you, without prior notice, to ensure you are in compliance.

Those against such an assurance policy will certainly argue that it violates a person's right to privacy to just show up on their door and request entry. Hogwash, if you agree to accept money from the State you need to accept some conditions and among the first is you agree to allow the State DHHS funding agency entry to your home not just to ensure that monies aren't being misused but to also educate recipients in areas that they need education; areas like, meal planning, budgeting, parenting and so on.

While we are on the subject, wouldn’t it be nice to see a workfare project instituted? Parks need cleaning, pot holes need filling, culverts need cleaning, schools need painting and so much more and the State has a fully paid workforce collecting a paycheck while they sit at home. Not everyone but a good percentage sit at home collecting. Let’s put them to work. You want the money then do what the people paying into the system are doing, work. Not slave labor or endless hours, just something that gives a sense of earning instead of entitlement. Something that boosts one’s self worth and feels more like earning than taking.

I own some rental units and recently had a tenant who leave because she was going to (these are her words) "get my welfare". She quit college, quit work, moved in with her boyfriend who had just secured a section 8 voucher though a transfer from a parent that moved out of State, and she "got her welfare", like it was owed to her. A perfectly capable 23 year old woman quit bettering her life because it was work in favor of welfare.

Welfare is no bargain. I don't think for one minute people are living high on the hog while on welfare (assistance). But, there sure are a large percentage of recipients on assistance abusing the system and the programs to the detriment of individuals and families that are in actual need. There needs to be checks and balances. The State has to be proactive. Instead of chasing after spent money and hoping to get paid back make sure the money is going to the people who should be getting it in the first place.

There is a fantastic movie from the 70's that highlights this very situation. The movie is called Claudine, starring James Earl Jones and Diahann Carrol. You can watch it in section on youtube if you can't find it at the video store or through an online streaming service.

Gil's picture

Right on

And +5 points for using Barney as a quote!!

BPK's picture

LOOK AROUND

I also agree that there are many problems with welfare assistance in Maine, however, let me say this. Janet, you should look around you.....there are probably some white collar people in this State that need to be prosecuted as well. Let's get them so that we can actually get some of OUR money back! Good job so far, but remember waaaaayyyy back in your college days when the teacher said, "Work smarter, not harder." This isn't political is it?

wandac's picture
verified

Just one more way the State

Just one more way the State screws up!!!!!!!!

angelsx34eva's picture

Yeah Right....

If you know someone who's doing this, are you doing your part in reporting them?....By the way you are commenting here, I am guessing the answer to be no...If I new someone who was doing this, I would have no problem picking up the phone and calling the State to tell them...I sure as heck wouldn't want to be "guilty by association"...too bad we didn't have those laws on the books when it comes to Welfare Fraud...you'd see a flood of calls to the state if we did..just like years ago when they passed the laws on making "Deadbeat Dads" come clean or the state was going to not only take there licenses away, but make there names public...there were "Deadbeat Dads" scrambling to get there names off that list...Recovering the money?...Slim to none...BUT..the person has to work or show there getting some kind of income...if it takes a lifetime to pay it back..so be it...and I also hope that the people getting prosecuted for this are BANNED not only from this State, but from ALL STATES from getting any kind of assistance at all...I don't want to hear excuses that they may need it in the future...It takes a pretty smart person to do what some of these people do to rip the State off..Also, as part of there "punishment"...I think these individuals should be made to stand at the door of there local Department of Human Services, welcoming people, with a SIGN on THEM..saying.."I STOLE FROM THE STATE AND I GOT CAUGHT...AND WELCOMING YOU HERE IS "PART" OF MY PUNISHMENT"...Humiliating someone in public should be part of the "punishment"...may wake some people up out there who are guilty as these people are that are being caught....

Gil's picture

Hate to be the Grammar Nazi

but Damn!!! Learn the English language and spell check, it will help to prevent you from looking stupid. While I agree with your post, all I took away is that you seem to have a fifth grade education as far as writing goes. New - opposite of old. Knew - to be aware of. Then there is their. There - a direction, in or at that place. Their - a form of the possessive case of they used as an attributive adjective, before a noun. Big difference

yeah right's picture

good now get the other 5 thousand

yup, one down MANY more to go, I for one am fed up!

sandra2's picture

She defrauded the state of

She defrauded the state of $10 grand, and we spent another $20 grand prosecuting her.

Good luck getting her to pay.

No wonder we have a deficit.

melora's picture

The biggest fraud is..

I am all for welfare programs assisting those who need them, especially now when work is hard to find. However, I think the largest fraud segment exists where individuals are actually living with their boyfriend or girlfriend (not married) and claim they are single (thus get benefits). It appears they are poor but in truth they are living off the income of their live-in partner.

yeah right's picture

right

you are totally right i know one as we speak..... she just got her man to buy all her christmas gifts AND he pays her bills. AND he works AND get unemployment!!!

Mainermamma's picture
verified

1 Scum bag down

One scum bag down..many to go! It's too easy now a days to play the system...sit at home and claim a check rather than getting off your arse and getting a job! The government should be rewarding the working class for doing so and writing us checks...not the ones able but not willing to work! Support the Veterans, Retired, & TRUELY disabled. We've got it all wrong and sadly I don't see it changing.

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