NEW ORLEANS – Two women plead guilty to fraudulently applying for financial assistance to a fund set up to help victims of the Deepwater Horizon oil spill, officials announced Monday.
Clara Aitch, age 39, and Wendy Ervin, age of 42, both of New Orleans, pleaded guilty in federal court to one count of conspiracy to commit wire fraud relating to the fraudulent applications they made or caused to be made to the Gulf Coast Claims Facility for financial assistance during the aftermath of the Deepwater Horizon oil spill, according to officials.
After Aitch and Ervin submitted fraudulent Claims they both received approximately $2.2 million to which they were not entitled, officials said.
On March 12, 2015, officials said Aitch and Ervin were indicted along with 18 other defendants in a 26-count indictment charging approximately $30 million in Medicare fraud and the BP fraud.
According to court documents, the Claims Facility made disaster assistance money available to individuals and businesses affected by the oil spill resulting from the Deepwater Horizon explosion.
The Claims Facility required individuals to verify loss of income.
In November, 2010, Aitch and Ervin conspired with Lisa Crinel to apply for disaster assistance funds, and represent that they were employees of LACE, a reception hall owned and operated by Lisa Crinel, when, in truth, Aitch and Ervin were full time employees of Abide Home Care Services, Inc.
Aitch and Ervin both face a maximum term of imprisonment of five years.
Sentencing is set for July.