BOSTON – Two Georgetown men were sentenced yesterday for defrauding the Social Security Administration of $105,158.
Charles Flynn, 36, and Steven Grondell, 45, were sentenced by U.S. District Court Judge George A. O’Toole, Jr. to three years of probation, including six months of home confinement, 105 hours of community service, and ordered to pay $105,158 in restitution to the Social Security Administration, $40,000 of which was paid today. In December, Flynn and Grondell pleaded to theft of public money.
Flynn began receiving Social Security disability benefits in 2004. In 2008, however, while still collecting disability benefits, Flynn began working at the iParty store in Peabody under the identity of his partner, Steven Grondell. Flynn did not report this work to Social Security. In fact, in a benefits review in November 2012, he falsely stated that he had not worked since about 2003.
Flynn’s income from iParty, which totaled about $30,000 to $40,000 per year, would have made him ineligible to receive disability benefits. Grondell aided and abetted this scheme by allowing Flynn to use his identity to work at iParty and by helping to cover up the fraud by claiming the iParty income on his own tax returns.