OAN’s Brooke Mallory
6:08pm – Tuesday, April 16, 2024
A former U.S. Army financial counselor has entered a guilty plea to defrauding the families of deceased service members out of life insurance premiums, U.S. prosecutors announced Tuesday.
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According to the organization, Gold Star family members are eligible to receive $100,000 plus military life insurance (up to $400,000) if they are the direct beneficiary of a service member who dies while on active duty in the military. It is said that there is. .
Prosecutors say Kaz Claffey, 41, of Colts Neck, New Jersey, is guilty of accepting more than $9.9 million from multiple Gold Star families and investing it in Claffey’s personal accounts without their consent. He announced that he had given his answer.
Prosecutors said Claffey was a civilian in the U.S. Army, where he served as a financial counselor for the Office of Victim Assistance, and had been in the U.S. Army Reserve since 2003, where he was a major.
Prosecutors allege that between May 2018 and November 2022, Mr. Claffey earned more than $1.4 million in fees, while the Gold Star family’s accounts lost more than $3.7 million. .
“Those who targeted the families of fallen American soldiers will be held accountable for their crimes,” Attorney General Merrick Garland said in a press release. “Although nothing can reverse the tremendous loss suffered by Gold Star families, the Department of Justice remains committed to doing everything in its power to protect them from further harm,” he added.
according to press release Claffey entered guilty pleas Tuesday to 10 charges, including six counts of wire fraud and one count each of securities fraud, for making false statements on loan applications, according to a statement from the New Jersey U.S. Attorney’s Office. Conducted an act that affected the mortgage loan. Personal financial gain and lying to federal agencies.
“Cas Claffey today admitted that he brazenly used his position as an Army financial advisor to prey on the families of our most vulnerable fallen soldiers through lies and deceit,” said the U.S. Attorney. said Philip R. Selinger.
“These Gold Star families have offered the most precious sacrifice on the altar of freedom. And they deserve our utmost respect and compassion, as well as a modicum of economic security from a grateful nation. ” he continued.
In Trenton, New Jersey, U.S. District Judge Georgette Kassner accepted Claffey’s plea.His sentencing is scheduled for August 21stcent.
As part of the plea agreement, prosecutors say Claffey will receive a sentence of eight to 10 years in prison. The amount of compensation will be revealed when the judgment is issued.
Mr. Claffy Suspect X (Twitter) Profile The bio says: “Life has never been easy. It was sheer determination, tenacity, and perseverance that helped me rise from the ashes to where I am today.”
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