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Another IRS Scandal: Two ‘Sentenced for Unemployment Insurance Fraud’

3:04 PM, May 22, 2013 • By JERYL BIER
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Congressional hearings over the last two weeks have been filled with stories of misconduct due to incompetence and inexperience among certain IRS employees. Both Republicans and Democrats have leveled the accusations, and Internal Revenue officials testifying before Congress have admitted as much. At the same time, all parties have stressed that the vast majority of IRS employees are hard working, competent, and honest civil servants.

This story isn't about them either.

The Indiana Department of Workforce Development just announced the sentencing of two former IRS employees “for unemployment insurance fraud.” Seven other former IRS employees have already been convicted and sentenced as a result of the investigation:

INDIANAPOLIS  – Over the past week two former United States Internal Revenue Service (IRS) employees have been sentenced for unemployment insurance fraud. Carmen Brown, also known as Carmen Smith, 41, of Indianapolis, and Terri Wardell, 48, of Fishers, both pled guilty to unemployment insurance fraud. The two filed for and received unemployment insurance benefits while working full-time for the IRS. Smith illegally received nearly $14,000 in benefits. Wardell fraudulently collected over $18,000... 

“It does not matter who you are or who you work for, we work diligently to make sure those who take funds they are not eligible for, are held accountable”, said Scott B. Sanders, Commissioner of the Indiana Department of Workforce Development. “These funds are for Hoosiers truly in need and we take our job safeguarding these funds very seriously.” 

The IRS detected the original signs of fraud and reported the information to the DWD who then pursued the investigation resulting in these convictions.

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