Mende Leone, Stealing VA Benefits, Alabama 2021

Mende Leone, also known as Shirl Lee Cook, 37, pleaded guilty to misappropriation of a federal benefit by a fiduciary in Montgomery, Alabama.

Leone resided in Phenix City, Alabama at the time of the crime. This case involves the fraudulent misapplication by a fiduciary of funds provided by the U.S. Department of Veterans Affairs (VA) intended for the sole benefit of a veteran.

According to court records, Mende Leone was the niece of a veteran living in Phenix City who was receiving benefits from the VA and was eventually appointed to serve as his fiduciary. In late 2014, the VA notified Leone that a large retroactive payment of benefits would be made on behalf of her uncle.

A short time after these payments, the VA received a tip that large transfers had been made from the veteran’s bank account where his funds were being held. When looking into the matter, the VA discovered that from March-May of 2015, Leone wrote several checks from the veteran’s fiduciary account made payable to her mother, Shirley Ann Moreman, who is also the veteran’s sister.

Moreman either cashed or deposited the checks into her personal account and then almost immediately withdrew most of the money. Moreman and Leone then used the money for their personal use and not for the benefit of the veteran. The investigation revealed that Leone and Moreman misappropriated at least $151,000.00 of VA benefits intended for the veteran.

Both Leone and Moreman were indicted by a federal grand jury in March 2020 for their roles in the scheme. However, Moreman passed away in February 2021 before her case could be adjudicated.

Leone will be scheduled for a sentencing hearing where she faces a maximum sentence of five years in prison, as well as monetary penalties and restitution.

“Stealing benefits from a veteran is a despicable crime,” stated Acting U.S. Attorney Sandra J. Stewart. “Our country owes a debt to all service members for their sacrifice and we must ensure that they are protected from those that would take advantage of them for personal gain.

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