46-215. Welfare fraud; program
disqualification; classification


A. A person commits welfare fraud if the person knowingly obtains by means of a
false statement or representation, by impersonation or by other fraudulent device any of
the following:


1. Assistance or service to which the person is not entitled.


2. Assistance or service greater than that to which the person is entitled.


3. Payment of any forfeited installment grant, or aids or abets in buying or in any
way disposing of the property of a recipient of assistance or service without the consent
of the department.


B. The department shall adopt rules to establish procedures for administrative
disqualification and referral for prosecution of persons who commit welfare fraud.


C. A person is disqualified from program participation pursuant to subsection D if
the person commits one or more of the following:


1. Signs a waiver of an administrative disqualification hearing.


2. After an administrative disqualification hearing, is found to have committed an
intentional program violation consisting of any misrepresentation or other act that
violates a law or rule governing the program.


3. Is convicted of any crime or petty offense against any assistance program
defined in this chapter.


D. A person who commits an intentional program violation is disqualified from
program participation for twelve months for the first violation, twenty-four months for
the second violation and permanently for three or more violations.


E. The department shall not include the needs of the disqualified person in the
assistance unit but shall count the income and resources of the disqualified person as
being available to the unit.


F. A person who commits welfare fraud pursuant to subsection A is guilty of a class
6 felony.