Los Banos woman indicted in Social Security fraud

A 63-year-old Los Banos woman has been indicted by a federal grand jury on charges of stealing at least $55,000 in Social Security benefits during a six-year period beginning around the end of 2008, according to a copy of the indictment filed in U.S. District Court.

Alice M. Pigg, 63, is accused of fraudulently receiving financial benefits by concealing and withholding her spouse’s income, which totaled at least $140,000 from 2008 to 2012, as well as $60,000 a year from a pension after his retirement, the indictment says.

Federal prosecutors believe the theft occurred from December 2008 to June 2014.

The federal grand jury handed down the eight-page indictment Thursday in U.S. District Court, charging Pigg with stealing benefits and concealing “material information” to obtain benefits, the Justice Department said.

The Justice Department said Pigg shared a bank account with her husband during that time and his earnings were deposited in that account.

“As a result, Pigg obtained SSA benefits to which she was otherwise not entitled and used them for her own personal expenses,” U.S. Attorney Benjamin Wagner said in a news release.

Pigg, in a brief telephone interview Friday, acknowledged receiving government benefits but denied any wrongdoing.

“I didn’t take any money. That’s a lie,” she said. “It’s false and I’m fighting it.”

The case is the result of an investigation by the Social Security Administration’s Office of Inspector General.

If convicted, Pigg faces a maximum sentence of up to 15 years behind bars and a minimum sentence of six years of probation, according to the Justice Department.

This story was originally published November 20, 2015 at 3:34 PM with the headline "Los Banos woman indicted in Social Security fraud."