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Home»FLORIDA NEWS»Former VA employee pleads guilty to stealing over $500,000 in disability benefits
FLORIDA NEWS

Former VA employee pleads guilty to stealing over $500,000 in disability benefits

Niceville.comJune 26, 20232 Mins Read
U.S. Attorney's Office for the Middle District of Florida logo, office title
U.S. Attorney's Office for the Middle District of Florida. (Department of Justice)

FLORIDA – A Florida veteran who worked for the Department of Veterans Affairs has pleaded guilty to the theft of more than $500,000 in veteran benefits.

Edward Ferraro, 48, of Odessa, has pleaded guilty to theft of Department of Veterans Affairs (VA) disability benefits and is facing a maximum penalty of 10 years in federal prison, said United States Attorney Roger B. Handberg.

A sentencing date has not been set.

According to public records, Ferraro, a former VA disability rater, exploited his position with the VA to apply for and approve benefits in the name of an unwitting third party in May 2003. The proceeds of the fraud were deposited into a bank account in Ferraro’s name, and over the ensuing years, the VA paid more than $500,000 in improper benefits.

Prosecutors said Ferraro withdrew the VA proceeds from the account and used them to fund his lifestyle, such as cash payments to his credit cards, family vacations, and gambling.

The scheme was discovered when the identity theft victim—also a veteran—attempted to apply for a VA-backed home loan, said the U.S. Attorney’s Office for the Middle District of Florida.

This case was investigated by the Office of Inspector General for the Department of Veterans Affairs. Assistant United States Attorney Rachel Jones is prosecuting it.

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