Knoxville Man Sentenced to 30 Months in Federal Prison for Defrauding U.S. Department of Veterans Affairs and Social Security Administration

KNOXVILLE—On December 12, 2012, Charles C. Kaczmarczyk, 59, of Knoxville, Tennessee, was sentenced by the Honorable Thomas W. Phillips, U.S. District Judge, to serve 30 months in federal prison for fraudulently obtaining disability payments from the U.S. Department of Veterans Affairs (VA) and the Social Security Administration.

In addition to the 30-month prison sentence, Kaczmarczyk was ordered to pay $457,986 in restitution to the VA and Social Security Administration.

As part of the scheme, Kaczmarczyk obtained disability payments based on a false claim of combat-related posttraumatic stress disorder (PTSD). Kaczmarczyk supported his false claim of combat-related PTSD by creating counterfeit U.S. Air Force records showing that he had received various medals for his service, including two Purple Hearts and two Silver Stars. During the course of his criminal conduct, Kaczmarczyk repeatedly lied to the VA and Social Security Administration regarding his participation in combat missions as a member of the U.S. Air Force’s Special Operations Group.

U.S. Attorney William C. Killian said, “Those who would dishonor our veterans by perpetrating fraud for personal gain will not be tolerated in the Eastern District of Tennessee. We will work with the Department of Veterans Affairs and others to quickly and decisively prosecute appropriate cases to the fullest extent of the law.”

The investigation was a joint effort between the Federal Bureau of Investigation, VA Office of Inspector General, Social Security Administration Office of Inspector General, and the U.S. Air Force.

Assistant U.S. Attorney Zachary Bolitho represented the United States.