WASHINGTON — An Army veteran and former VA official has been sentenced to prison for defrauding the agency out of $1.15 million in diabetes benefits, according a U.S. attorney’s office in Maryland.
David Clark, 68, of Hydes, Md., was given a one-year sentence Dec. 5 for filing false claims that he and 17 others with the Department of Veterans Affairs suffered from the disease following Agent Orange exposure during the Vietnam War, the office said in a press release.
A federal judge ordered Clark to return the money and pay restitution. The attorney’s office said he had pleaded guilty to extortion and must undergo two years of supervised release after his prison term.
Clark was the deputy chief for veteran claims at the Maryland VA until he retired in 2011. As part of his job, he submitted benefit claims and documentation on behalf of veterans.
“Clark fraudulently obtained VA compensation for himself and at least 17 others, by submitting false documents to the VA purporting to show that the claimants had been diagnosed with diabetes, and in some cases that the claimants had served in Vietnam when they had not,” the U.S. attorney’s office said in the release.
In May, six other veterans pleaded guilty to receiving over $500,000 as part of the scheme.
The ruse included letters Clark forged using the names and addresses of real doctors. The letters claimed earlier diagnoses of Type II diabetes, which entitle veterans to lump-sum payments.
“The letters also stated that the claimants were currently taking insulin, which increased the amount of compensation the VA paid the claimant,” the attorney’s office said.
He also counterfeited Defense Department forms to make it appear the veterans had served in the Vietnam War and had received numerous awards. Clark falsely claimed he received a Purple Heart.
The total amount of false claims was $1.15 million, but the crimes also included $255,000 in property tax evasion, the U.S. attorney’s office reported.
Clark took part of the lump-sum payments through cash drops at various locations in Maryland. Veterans would deliver the money in unmarked envelopes.
tritten.travis@stripes.com
Twitter: @Travis_Tritten
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