Laplace Woman Pleads Guilty to Defrauding American Red Cross

DIONNE GARRETT, age 30, a resident of Laplace, Louisiana, pleaded guilty in federal court today before U.S. District Judge Mary Ann Vial Lemmon to one count of Wire Fraud relating to a series of fraudulent applications for financial assistance that she submitted to the American Red Cross, announced U.S. Attorney Jim Letten.

According to court documents, the Red Cross made disaster assistance money of up to $1565 available to those affected by the hurricanes of 2005 on a one-time only basis. GARRETT admitted that she applied for and received disaster assistance funds from the Red Cross up to sixteen (16) times between September 9, 2005, and October 6, 2005. GARRETT repeatedly applied for these funds throughout the early fall of 2005, each time indicating that she had not yet received any money at all from the Red Cross. In all, GARRETT fraudulently obtained $17,045.00 from the American Red Cross.

GARRETT faces a maximum term of twenty (20) years in prison, a subsequent period of supervised release up to three (3) years, a fine of up to $250,000, and an amount of restitution to be determined by Judge Lemmon. Sentencing has been scheduled for January 28, 2010.

The case was investigated by the Federal Bureau of Investigation and the United States Attorney’s Office for the Eastern District of Louisiana. The case is being prosecuted by Assistant U.S. Attorney Jordan Ginsberg.