Rapid City Woman Jailed for Stealing Child’s Benefits

Jolenta Apodaca, f/k/a Jolenta American Horse, 44, of Rapid City, South Dakota, is headed to federal lockup after being sentenced on August 3, 2020, for stealing more than $31,000 in government benefits meant for her own child. U.S. District Judge Jeffrey L. Viken handed down a 6-month prison term, followed by 2 years of supervised release, after Apodaca pleaded guilty to two counts of False Statements in a scheme that exploited federal safety nets meant to protect vulnerable children.

Apodaca, once approved by the Social Security Administration (SSA) as the child’s Representative Payee, was entrusted with managing Supplemental Security Income (SSI) funds. Instead, she funneled $26,920 in SSI back payments and monthly benefits directly into her own pockets from September 1, 2016, through August 31, 2019. The child hadn’t lived with her for years—living instead with a third party who received nothing for the child’s care, despite the ongoing disbursements.

The fraud unraveled when the third party applied for state benefits through the South Dakota Department of Social Services (SD DSS) and learned the child was already an SSI beneficiary. Shocked, the caregiver reported to SSA that neither the child nor they had received a dime. That red flag triggered an investigation by the Sioux Falls Cooperative Disability Investigation Unit (CDIU), which confirmed Apodaca had not only misused SSI funds but also bilked $4,713 in SNAP benefits allocated for the child.

Charged by indictment on January 22, 2020, Apodaca faced counts of Theft of Government Funds, two counts of False Statements, and Misuse by a Representative Payee. She ultimately pleaded guilty to the two False Statements charges, admitting she lied to maintain control over funds she had no right to access. Her deception allowed her to live off money intended for food, shelter, and medical care for a child she abandoned.

As part of her sentence, Apodaca was ordered to repay $26,920 to the SSA and $4,713 to SD DSS. She must also pay $200 in special assessments to the Federal Crime Victims Fund. The case was investigated by the Office of the Inspector General – Social Security Administration, a watchdog unit trained to root out fraud in federal benefit programs.

Assistant U.S. Attorney Heather Sazama prosecuted the case, underscoring federal resolve to hold benefit thieves accountable. “Representative payees are fiduciaries, not freeloaders,” said a DOJ source familiar with the case. “When they betray that trust, especially by stealing from children, they will do hard time.” Apodaca’s fall from caregiver to convict serves as a stark warning in an era of tightening oversight on public assistance programs.

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