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Woman Manages To Commit Food Stamp Fraud From Jail

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A Colorado woman was already serving time behind bars when she was sentenced to an additional six years for scamming her local welfare program, according to reports Thursday.

Karen Iuele was serving five years in prison for stealing money from an insurance agency, theft and forgery, among other convictions. While serving her time she managed to scam the Eagle County food stamp and medicaid programs. District Court Judge Paul Dunkelman sentenced her Wednesday to an additional six years in prison.

“It’s a little mind blowing for someone to think that while they’re incarcerated, it’s okay to defraud Eagle County,” Deputy District Attorney Courtney Gilbert said, according to the Vail Daily.

Iuele managed to receive food stamps and medicaid from prison by applying for benefits Feb. 2014 — the very day she pleaded guilty to the original charges. She lied about not being married, claimed her daughter was living with her and failed to list that she has violated a past felony probation. The Eagle County Health and Human Services allowed the application to be processed in her favor.

County officials only caught the scheme after receiving a tip on its fraud hotline. The food stamp program is the largest food assistance welfare service in the country. The U.S. Department of Agriculture (USDA) administers the program in coordination with state agencies.

The USDA estimates the program has increased from 17 million participants in 2000 to nearly 47 million in 2014. The improved economy has helped decrease the number of participants in recent years. The Congressional Budget Office found, since participation hit its peak in December, 2012, the number of people receiving benefits has declined by more than 1.5 million.

The human services department did not respond to a request for comment by The Daily Caller News Foundation.

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