Latest Legal News from the Federal Criminal Courts in the United States

April 16, 2007

TWO MORE CHARGED WITH HURRICANE KATRINA FRAUD

Indictments bring to 45 the number of individuals charged with FEMA fraud in the District

HOUSTON, Texas – U.S. Attorney Don DeGabrielle today announced the recent return of two separate indictments charging Bobby Hammond, 28, and Yashica Lyons, 20, both of New Orleans, LA, with fraudulently obtaining Hurricane Katrina disaster assistance.

Hammond, indicted on March 29, 2007, was taken into federal custody on April 10, 2007 by special agents of the Offices of Inspector General of the U.S. Departments of Homeland Security and Labor on a charge of mail fraud. He made an initial court appearance in New Orleans last week and was granted a $10,000 bond. Hammond is accused of obtaining Hurricane Katrina Disaster Unemployment Assistance using a false social security number four days after he obtained the assistance using his real social security number. If convicted, he faces a maximum sentence of 20 years in prison and a $250,000 fine.

Lyons, indicted on April 2, 2007, was taken into federal custody on April 9, 2007 by special agents of the Federal Bureau of Investigation on a charge of making a false claim. She also made an initial court appearance in New Orleans last week and was released after a personal surety of $5,000 was executed. Lyons is accused of submitting a claim for Hurricane Katrina disaster assistance for damage to her primary residence, when in fact she has never lived at the address she used to base her claim. If convicted, she faces a maximum sentence of 5 years in prison and a $250,000 fine. Lyons, as well as Hammond, face trial on these charges in Houston, TX later this year.

With the return of these indictments, a total of 45 individuals have been charged in the Southern District of Texas with fraud relating to Hurricane Katrina or Hurricane Rita.

The United States Attorney's Office for the Southern District of Texas is a member of the Department of Justice's Hurricane Katrina Fraud Task Force, created by Attorney General Alberto R. Gonzales to deter, detect and prosecute unscrupulous individuals who try to take advantage of the Hurricane Katrina and Hurricane Rita disasters. Headed by Assistant Attorney General Alice S. Fisher, the Task Force is comprised of federal, state, and local law enforcement investigating agencies and the United States Attorney’s Offices in the Gulf Coast region and nationwide.

These cases were investigated by the Offices of Inspector General of both the U.S. Department of Homeland Security and the Department of Labor and by the Federal Bureau of Investigation. They will be prosecuted by Assistant United States Attorney Stephen Corso.