Massachusetts Woman Pleads Guilty to Social Security and Pension Fraud

BOSTON — A woman from Charlton, Massachusetts, pleaded guilty in U.S. District Court in Worcester on May 12 2026 to one count of bank fraud for fraudulently obtaining Social Security benefits and pension payments, according to the U.S. Department of Justice.

The defendant, identified in the Justice Department release as a Massachusetts resident, admitted to the conduct that allowed her to collect payments from the Social Security Administration’s Old-Age, Survivors, and Disability Insurance program and from a separate pension.

The Social Security program serves more than 70 million beneficiaries annually and paid out roughly $1.4 trillion in benefits in fiscal 2025. Federal pension payments, including those administered through the Office of Personnel Management, disburse additional billions to eligible retirees and survivors.

The plea changes the defendant’s legal status from charged to convicted. Sentencing has not yet been scheduled. Under federal sentencing guidelines, the offense carries a maximum statutory penalty of 30 years in prison and a fine of up to $1 million, though actual time served will depend on loss amount, acceptance of responsibility, and criminal history.

Full restitution to the agencies is required.

Downstream, the conviction requires the Social Security Administration to terminate improper payments immediately and to calculate the precise overpayment for recoupment. The Department of Justice must now prepare a presentence investigation report, after which the court will set a sentencing date.

Any restitution order will create a enforceable judgment that federal agencies can collect through wage garnishment or asset seizure. The case also feeds statistical reporting that informs congressional oversight committees tracking improper-payment rates across entitlement programs.

This marks the latest federal prosecution of individual benefit fraud in Massachusetts. The Justice Department has pursued similar cases under the same bank-fraud statute in the District of Massachusetts for more than a decade, often as standalone matters rather than part of a named national enforcement sweep.

The plea agreement itself was filed and accepted in open court on the date of the release.

The U.S. Attorney’s Office for the District of Massachusetts handled the prosecution.