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Federal agents have raided a Seattle couple’s $1.2 million lakefront home looking for evidence that they’ve bilked the government for more than a decade.
Filing a civil lawsuit Friday, federal prosecutors in Seattle claim Lyudmila Shimonova and her partner, chiropractor David Silverstein, sucked money out of state and federal assistance programs while living well in a Lake Washington mansion.
Both have been accused of welfare fraud, allegedly making false claims for government assistance. Neither has been charged criminally.
All told, authorities claim the couple received $135,000 in federal housing assistance benefits, as well as additional support through a federal program for destitute disabled Americans and state programs meant to feed families.
“All of these programs are need-based programs, meaning that a person can qualify for the programs only if he or she demonstrates that his or her income or resources fall below a certain level,” a Department of Housing and Urban Development special agent told the court. “The investigation has developed substantial evidence that the subjects defrauded theses programs by misrepresenting and concealing material information.”
HUD investigators and other law officers on Tuesday searched the couple's Island Drive South home, located on the shore of Lake Washington in Seattle’s Dunlap neighborhood. According to court documents, agents seized financial documents, Nordstrom receipts and framed photos of the couple.
In a search warrant affidavit, the HUD special agent noted Silverstein and Shimonova took numerous international trips together while Shimonova was collecting substantial amounts of money in government assistance. Among their destinations were the Dominican Republic, Moscow and Paris.
Federal prosecutors claim in civil filings that Shimonova has been receiving $1,272 a month in housing assistance payments since 2003. Those payments allegedly went to pay rent to her landlord, Silverstein.
In court documents, Assistant U.S. Attorneys Harold Malkin and Kayla Stahman contended Shimonova told HUD officials that only she and her two children lived on the property, and that her total assets were less than $5,000. Agents watching the property noted that Silverstein’s Jaguar sedan was often parked at the home, and that his purported home address was actually his chiropractic clinic.
Beyond that, though, the prosecutors noted Silverstein and Shimonova are very likely married, despite claims to the contrary made to HUD.
“It appears that (they) are actually husband and wife, a material fact Shimonova has failed repeatedly to disclose on annual submissions … to maintain her eligibility for (housing) subsidies,” the prosecutors told the court.
If they’re not married, it seems Silverstein has some explaining to do – he describes himself as “happily married with two children” on his business website.
Since 1995, Shimonova has also been receiving disability payments meant to assist Americans with monthly incomes of less than $675, the prosecutors continued. Shimonova is alleged to have failed to disclose several savings accounts, holding tens of thousands of dollars, to which she had access.
At the same time, Shimonova was drawing food stamps and support checks from a program meant to keep poor families from starving, the government attorneys continued. She is also alleged to have received medical care through Medicaid.
In addition to repayment, the government has asked that Shimonova and Silverstein be fined $11,000 for each false claim made to the government.
The couple has not yet responded to the allegations with the court.
Check the Seattle 911 crime blog for more Seattle crime news. Visit seattlepi.com's home page for more Seattle news.
Read more: http://www.seattlepi.com/local/artic...#ixzz1fgMsD1cA
Filing a civil lawsuit Friday, federal prosecutors in Seattle claim Lyudmila Shimonova and her partner, chiropractor David Silverstein, sucked money out of state and federal assistance programs while living well in a Lake Washington mansion.
Both have been accused of welfare fraud, allegedly making false claims for government assistance. Neither has been charged criminally.
All told, authorities claim the couple received $135,000 in federal housing assistance benefits, as well as additional support through a federal program for destitute disabled Americans and state programs meant to feed families.
“All of these programs are need-based programs, meaning that a person can qualify for the programs only if he or she demonstrates that his or her income or resources fall below a certain level,” a Department of Housing and Urban Development special agent told the court. “The investigation has developed substantial evidence that the subjects defrauded theses programs by misrepresenting and concealing material information.”
HUD investigators and other law officers on Tuesday searched the couple's Island Drive South home, located on the shore of Lake Washington in Seattle’s Dunlap neighborhood. According to court documents, agents seized financial documents, Nordstrom receipts and framed photos of the couple.
In a search warrant affidavit, the HUD special agent noted Silverstein and Shimonova took numerous international trips together while Shimonova was collecting substantial amounts of money in government assistance. Among their destinations were the Dominican Republic, Moscow and Paris.
Federal prosecutors claim in civil filings that Shimonova has been receiving $1,272 a month in housing assistance payments since 2003. Those payments allegedly went to pay rent to her landlord, Silverstein.
In court documents, Assistant U.S. Attorneys Harold Malkin and Kayla Stahman contended Shimonova told HUD officials that only she and her two children lived on the property, and that her total assets were less than $5,000. Agents watching the property noted that Silverstein’s Jaguar sedan was often parked at the home, and that his purported home address was actually his chiropractic clinic.
Beyond that, though, the prosecutors noted Silverstein and Shimonova are very likely married, despite claims to the contrary made to HUD.
“It appears that (they) are actually husband and wife, a material fact Shimonova has failed repeatedly to disclose on annual submissions … to maintain her eligibility for (housing) subsidies,” the prosecutors told the court.
If they’re not married, it seems Silverstein has some explaining to do – he describes himself as “happily married with two children” on his business website.
Since 1995, Shimonova has also been receiving disability payments meant to assist Americans with monthly incomes of less than $675, the prosecutors continued. Shimonova is alleged to have failed to disclose several savings accounts, holding tens of thousands of dollars, to which she had access.
At the same time, Shimonova was drawing food stamps and support checks from a program meant to keep poor families from starving, the government attorneys continued. She is also alleged to have received medical care through Medicaid.
In addition to repayment, the government has asked that Shimonova and Silverstein be fined $11,000 for each false claim made to the government.
The couple has not yet responded to the allegations with the court.
Check the Seattle 911 crime blog for more Seattle crime news. Visit seattlepi.com's home page for more Seattle news.
Read more: http://www.seattlepi.com/local/artic...#ixzz1fgMsD1cA
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