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Matthew J. McCarthy, VA Benefits Embezzlement, Massachusetts 2024

A former attorney exploited his position of trust to steal tens of thousands of dollars from a vulnerable 64-year-old veteran under his guardianship, federal prosecutors say. Matthew J. McCarthy, 48, of Lowell, Mass., was sentenced yesterday in U.S. District Court in Boston after admitting to siphoning VA benefits meant to support a disabled veteran.

McCarthy was hit with six months in federal prison followed by six months of court-ordered home confinement. U.S. District Court Judge F. Dennis Saylor, IV, also ordered McCarthy to pay full restitution: $36,105. The sentence stems from a years-long theft scheme tied to his role as court-appointed guardian for the veteran, a duty he betrayed with cold calculation.

The crime began in earnest between October 2009 and March 2011. During that time, McCarthy, then a licensed attorney, unlawfully diverted funds from the veteran’s Department of Veterans’ Affairs account. He wrote checks to himself and third parties, forged endorsements, and cashed the checks—pocketing approximately $36,000 in total. The stolen money was intended for the veteran’s care, housing, and medical needs.

McCarthy pleaded guilty in August 2016 to one count of theft of public money, a federal felony. His guilty plea laid bare the abuse of power at the heart of the case: a legal professional weaponizing his authority to rob one of society’s most protected classes—disabled veterans. The scheme unraveled after financial anomalies triggered an investigation by federal watchdogs.

The Department of Veterans Affairs, Office of the Inspector General, Northeast Field Office, led the probe alongside federal prosecutors. Special Agent in Charge Donna Neves called the betrayal “a violation of both law and moral duty,” emphasizing that guardians are meant to protect, not prey on, those they serve.

United States Attorney Carmen M. Ortiz announced the outcome, crediting Assistant U.S. Attorney Giselle J. Joffre of Ortiz’s Major Crimes Unit for securing the conviction. The case stands as a stark reminder that even those sworn to uphold justice can become predators when greed overrules integrity.

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