New Bedford man sent to prison for stealing veterans’ disability benefits

A New Bedford man was sentenced for his theft of disability benefits issued by the United States Veterans Benefits Administration, according to a statement from the U.S. Attorney’s Office. 

Joseph Smith, 71, was sentenced to 23 months in prison to be followed by two years of supervised release. He was charged with the theft of over $450,000 in disability benefits that were intended for a 20-year-old veteran who was suffering from Amyotrophic Lateral Sclerosis or ALS, according to the statement.

In September 2024, Smith pleaded guilty to one count of theft of government benefits and one count of conspiracy to steal government benefits, according to officials. 

After the victim’s ALS diagnosis in August 2015, the VBA approved his application for disability benefits and awarded him approximately $8,318 in monthly payments. These were issued via checks mailed to the victim’s former residence in New Bedford, where he resided with Smith’s relative. 

Between 2015 and 2020, when the victim was hospitalized for ALS, Smith and others received these monthly VBA checks for the victim and deposited them into bank accounts they controlled. Smith then withdrew the funds in cash and used the money for his personal expenses, according to a statement. 

Smith and others stole more than $450,000 in VBA disability benefits intended for the victim, according to officials. 

“Every American owes a debt of gratitude to the men and women who have worn the uniform. Stealing from them is simply immoral and Mr. Smith will now pay a heavy price for his egregious betrayal of a veteran who sacrificed for all of us to keep our country free and safe,” said United States Attorney Joshua S. Levy. “Stealing from a Marine Corps veteran who bravely served for 20 years as he battled a devastating illness is about as low as it gets.” 

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